Can't understand why I've been auto enrolled

A question about : Can't understand why I've been auto enrolled

I got a letter today to say that I have recently met the criteria of earning over Ј9,400 so I've been auto-enrolled but I only earn just over half that.

When I e-mailed them to enquire they said I'd done enough overtime to trigger it but I found a website that says you have to earn over Ј787 per month but the most I've earned in the past 12 months is Ј554.

I took the letter into work today and they're looking into it because they can't understand it either. Any ideas?

Best answers:

• You may be an entitled worker?
  Either way, why are you not already in the scheme?
  Even if you and your employer and only paying 1% each you are still doubling your money instantly. Plus tax relief too.
  Free money is free money.
• But even as an entitled worker (which I don't think I am because I haven't made a request to join - if that's how it works) my employer is not required to pay any contributions on my behalf. I also don't pay tax so no tax relief.
• Even if you don't pay tax, the government will be contributing the equivalent of 20% tax to your pension contributions. So if you put in Ј40 and your employer puts in the same, then you will end up with Ј100 in your pension pot.
• If it's anything like mine my 1% is Ј8 a month not Ј40 my employer puts in the same ( ok my Ј8 includes the tax relief ...I put in slightly less)
  If you earn Ј500 odd a months that's Ј5 from your employer and Ј5 including tax relief from you
  Just think ... That whole Ј10 won't be enough to buy you a tin of beans a month when you retire ... But I'm sure it will be enough to just tip you over the edge for any benefits
  Don't rely on it being enough to retire on, you need to do more or your going to struggle ... This is where I am and I'm working my backside off to try and get some sort of savings for retirement don't leave it too late
• Under Auto Enrolment rules you don't get tax relief if you don't pay tax so the Government won't be putting anything into your fund I am afraid.
• Sorry, forgot to post an update. Even though I was told it must have been triggered due to overtime I took it further. It was passed on to several people to look into and eventually I was told they could see no reason as to why it was generated as I hadn't earned over the threshold to meet the criteria. I just hope they don't keep auto enrolling me every three years now.
• Auto enrolment tax relief is different to personal pensions. For many it will be similar as their scheme will exceed the auto enrolment minimums (such as a group personal pension which is not based on band earnings or amounts contributed). However, at its minimum level, it is not the same.
• Whilst no doubt it is a complete pain you are able to opt out. I believe if you contact the pension provider within 30 days you are entitled to a refund. If you contact them after 30 days you can stop contributions but can't get a refund of what's already been paid in.
  (Well that's my understanding of how NEST works so I guess yours is similar?).
  df