Automatic enrolment audit (Delivered by Sanctum Software)

Automatic enrolment audit

Sanctum Software check automatic enrolment compliance using anonymised payroll data. Sanctum uses the scheme setup parameters provided by the employer to calculate what contributions should have been made for each employee compared to contributions that were actually made. Sanctum then passes the findings on to the clients advisers to enable them calculate any lost investment value caused by the errors and provide guidance on how to prevent future issues.

Typical automatic enrolment errors

Contribution increases in 2018 and 2019 not applied correctly
Non-compliant automatic enrolment communications to employees
Poor understanding of postponement and incorrect application
Failure to understand the basis for the calculation of automatic enrolment contributions resulting in incorrect contributions

Trigger points for reviews

New FDs and HRDs reviewing pension arrangements and checking automatic enrolment compliance (before it becomes their problem)
Increased enforcement by TPR
Fear of reputational damage often greater than financial impact
TPR using RTI and provider data to target non-compliant employers
TPR work with enforcement teams from DWP-NMW, HMRC & VAT
Merger and Acquisition Activity
Preparation / due diligence compliance checks
Resolution of historic non-compliance before/following acquisition

To engage with Sanctum Software, email Mark Ellis ([email protected]) directly and quote CIPP.

For more information take a look at the document below.