Talk to us today:   01327 810373

31 January 2018

Auto Enrolment contribution increases from April 2018

By now all existing employers should be aware of Auto Enrolment and should have a qualifying scheme in place.

However, from April 2018 the minimum contributions are due to increase, with the rate tripling for employees from 1% to 3%, while the cost for the employer is also set to double from 1% to 2%.

This is the first step of contribution phasing, with the second step arriving one year later in April 2019.

Here’s a summary of the changes over the next 2 years:

Date                               Employer Minimum               Employee               Total Minimum                                                                                                                      Contribution                  Contribution              Contribution                 
Up to 5
April 2018                                     1%                                 1%                             2%                             

Up to 6
April 2018                                     2%                                 3%                             5%

Up to 6
April 2019                                     3%                                 5%                             8%

For more information on these changes please contact Sandra Franklin or any of our payroll and bookkeeping team.


Key Facts:

  1. Auto Enrolment minimum contribution rates increase in April 2018
  2. Employee contributions rise from 1% to 3%
  3. Employer contributions rise from 1% to 2%
  4. Rates will increase again in April 2019

Share this article:

Leave a comment

Please login to leave a comment.

Contact KRW

KRW Accountants
The Mill, Pury Hill Business Park
Alderton Road, Towcester
Northants, NN12 7LS

phone01327 810373

Members of

icaew logo  chartered     

Connect with KRW

twitter    linked in    rss    facebook