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Workplace pensions and your situation

You’re not already in your employer’s pension, you’re earning more than £8,105 a year, are aged 22 or over but under State Pension age

You’ll be automatically enrolled into a workplace pension by your employer. You and your employer will both pay into it. You'll also get a contribution from the government in the form of tax relief.

You’re not already in your employer’s pension, you’re earning £5,564 or less a year and are aged 16 or over but under 75

Your employer will not automatically enrol you into their workplace pension. But you have the right to ask them to enrol you into a pension if you want. Your employer does not have to pay into it but can choose to do so. You might also get some tax relief from the government – check with whoever runs your pension scheme.

You’re not already in your employer’s pension, you’re earning more than £5,564 up to £8,105 a year and are aged 16 or over but under 75

Your employer will not automatically enrol you into their workplace pension. But you have the right to join the pension if you want. You and your employer will both pay into it. You might also get some tax relief from the government – check with whoever runs your pension scheme.

You’re not already in your employer’s pension, you’re earning more than £8,105 a year but are younger than 22

If you’re aged between 16 and 21, your employer will not automatically enrol you into their workplace pension. But you have the right to join if you want. You and your employer will both pay into it. You would also get a contribution from the government in the form of tax relief.

You’re not already in your employer’s pension, you’re earning more than £8,105 a year but are State Pension age or older

If you have reached State Pension age but are under 75, your employer will not automatically enrol you into their workplace pension. But you have the right to join if you want. You and your employer will both pay into it. You might also get a contribution from the government in the form of tax relief.

You’re already in your employer’s pension

You will not be automatically enrolled into your employer’s workplace pension, because you’re already in it. This is as long as the workplace pension meets the government’s new standards. If you want more information, get in touch with your employer or whoever runs your pension scheme.

If your income varies over the year

If you normally earn less than £8,105 a year (which is £156 a week or £676 a month), then you won’t be automatically enrolled into a workplace pension. However, if you receive additional earnings (for example paid overtime) that means your pay in a single pay packet will be more than this, your employer will automatically enrol you into a workplace pension.

You’re self-employed or a ‘single person director’

You do not have to enrol yourself into a workplace pension. However, it’s a good idea to think about what income you’ll have to live on when you retire. You might want to put some plans in place for your later life, such as starting a personal pension, if you haven’t already done so.

You could choose a personal or stakeholder pension available from a variety of pension providers. Alternatively you may wish to consider using the National Employment Saving Trust (NEST). NEST is a trust-based workplace pension scheme developed to meet the needs of most people

You should consider seeking independent financial advice. Alternatively, you can contact the Money Advice Service or The Pensions Advisory Service.

• National Employment Savings Trust (NEST) Opens new window

• Visit The Pensions Advisory Service website Opens new window

• Money Advice Service - contact details Opens new window

You are a ‘single person director’ if you are a director of a company and the only worker in that company.

A note about the earnings figures

If you earn more than £8,105.00 a year (even just one penny more) and you meet the other criteria, your employer will enrol you into their workplace pension.

If you earn more than £5,564.00 a year (even just one penny more) and you are in a workplace pension, your employer has to contribute to it. If you earn £5,564.00 or less a year, your employer does not have to contribute, but can choose to do so.

Please note the earnings figures listed above (£8,105 a year and £5,564 a year) may change each April. If they do, this web page will be updated. These earnings figures apply however regularly you get paid, for example, daily, weekly, monthly, or four weekly.

More useful links

• Understanding personal pensions

• Saving for retirement