22 Mar 2016

A question about : Company charging me for opting out of auto enrolement pension

Hi,
I have opted out of the auto-enrolement pension at work, but they are charging me 2% of my salary each month for admin costs!!! No money is being paid into the pension by me or the company so can they do this?
I had no idea when i opted out that this would be the case.
If I opt in I have to pay a 4% contribution minimum and at present I cant afford it so opted out. But I may as well opt back into it if 2% is being thrown down the drain anyway
Can they really charge me for doing nothing ?

Best answers:

  • Can you confirm that you've raised this 2% fee with them and they've confirmed all of this in writing or email?
  • Does not sound right or fair
  • if what you are saying is correct then you need to contact the pensions regulator. You cannot be charged an Admin fee for opting out. Your company is already saving money by you opting out as for the next 3 years they are not paying your contribution. Further there is no admin cost to them.
    Which AE scheme were you auto enrolled into?
    The Pension Regulator can be found at https://www.thepensionsregulator.gov.uk/autoenrolment
  • This is an old thread (check dates) and the OP hasn't even replied so I'm guessing it was all a misunderstanding and it's been sorted now.
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