Revealed: Pensions contributions are confusing many of the UK workforce
02 September 2013
REVEALED: PENSIONS CONTRIBUTIONS ARE CONFUSING MANY OF THE UK WORKFORCE
The Chartered Institute of Payroll Professionals (CIPP) can today reveal that as Automatic Enrolment takes hold across UK companies, a quarter of their employees don’t fully understand what contributions are being made.
As this week marks National Payroll Week, taking place from 2 – 6 September 2013, focusing on the theme ‘It Pays To Learn’, the CIPP has been notified of a rise of 5% in workers wanting more information on their pension contributions in the last 12 months – a figure that the CIPP expects to rise again next year.
The figures, which have been taken from a CIPP commissioned survey of UK workers, also show that half of us would like to know more about our tax deductions. On top of that, the survey shows how a quarter of people don’t fully understand all the deductions made to their pay, whilst almost one in four don’t understand their national insurance contributions.
The CIPP urges anyone who is unsure of any of the figures, contributions or deductions detailed on their payslip to speak with their employer to fully understand their finances, and encourages employers to use National Payroll Week as the perfect time to explain figures to their staff.
This year’s National Payroll Week is being supported by Exchequer Secretary to the Treasury, MP David Gauke, who commented:
“The payroll industry plays an important role in tax administration. By providing advice, bureau services and well designed, easy to use software it enables employers to determine accurately their PAYE obligations which is essential in ensuring we are able to bring in the £230 billion per year of revenue used to fund public services.
“As well as this, the industry has proved that it can respond quickly to government changes to tax policy and administration. For example; in working with HMRC to develop products to facilitate Real Time Information and looking ahead, its adaption of software and other services to implement the Employment Allowance, which will come into effect from April 2014 and will allow businesses to reduce their employers’ national insurance contributions bill. It is a great pleasure to stand with them and celebrate all that they contribute to the profession.”
National Payroll Week provides people within the profession the opportunity to show off their hard work, effort and invaluable contributions they make on a day-to-day basis. As well as taking the opportunity to promote the profession and the staff working within it.
In addition, the CIPP will be to recognising the importance of personal and professional development in the profession. They want to encourage employees to climb the payroll ladder through; getting qualified, progressing with your learning and development, starting an apprenticeship programme or inspiring colleagues to make advancements in their CPD.
Payroll professionals can get involved in this year’s NPW in a number of ways, including:
- Hosting an event or workshop within their company to discuss how payroll works to the organisation’s employees
- By getting in touch with their local MP to talk about the importance of the profession
- Sending out press releases and invitations to local journalists alerting them of the week and events taking place
- Updating their social media platforms, highlighting the importance of the profession and understanding your payslip, and using the hashtag #NPW13
For more information on this year’s NPW please visit: www.nationalpayrollweek.co.uk
To take part, request your pack or let us know your plans, please email [email protected]
The Chartered Institute of Payroll Professionals is a 28 year-old membership organisation for payroll professionals in the UK. The Chartered Institute offers:
- Training and professional payroll and pension qualifications
- Professional designatory letters, e.g. MCIPP
- Advisory Service and e-newsletter with all the latest industry news called News On Line
- Continuing Professional Development programme encouraging self-improvement and career development structure
- Unique standards-based accreditations such as PQP and the Payroll Assurance Scheme for processes and procedures
- A membership magazine issued ten times a year called PayrollProfessional
- Representation at the highest levels of government through a very active policy team
- Participation in a long range strategy to change the perception of the payroll profession
- Regular events, meetings, conferences
Please visit the CIPP website for more information, www.cipp.org.uk
For all media enquiries regarding this release please contact:
Becky Westaway, CIPP Public Relations Officer on 07813 052230 / [email protected]