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Setting up pensiondeductions and creating Reports
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Setting up pension deductions and creating reports
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1. IntroductionSetting up a pension is usually a fairly straightforward process in most payroll systems but because
this is a general guide you might need to refer to your payroll user guide for specific information.
Our system is designed to make it as easy as possible for you to run an auto enrolment pension
scheme. Every time you need to do something we will let you know. Unlike some other solutions, with
our system you simply provide your data after you have closed your payroll and, if any changes are
needed, we will tell you before your next payroll run.
Your payroll system is used to calculate the pension
contributions that need to be deducted from
employees. To do this you need to:
• Set up the pension scheme
• Put employees into it at the appropriate
time
• Select the earnings on which pension
contributions are payable
• Set the level of pension contributions to be
paid as a percentage of earnings
• Maintain employees’ records
a) How pensions work in payroll systems
b) Your payroll and auto enrolment
Every time you pay employees, you will need
to provide us with payroll data so we can assess
employees, communicate with them, collect their
pension contributions and pay them into the
pension scheme. We also maintain the audit trail
required by law.
The data you must provide every time you run the payroll is for all employees, not just those who are enrolled into the pension scheme.
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2. Setting up the auto enrolment pension for the first time
a) Setting up the pension in your payroll
This section sets out the information that is likely to be needed in order to set up the pension in payroll.
The payroll system will use this information to calculate the pension contributions that need to be deducted
from employees’ wages and those that the employer has to pay when employees are enrolled into the pension
scheme.
In this section of the guide we cover:-
a) Setting up the pension in your payroll
b) Providing the payroll data
c) Uploading the payroll data
d) Communicating with employees
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Information to help you set up the pension in payroll
Scheme type The Creative Pension Trust is a Money Purchase Scheme.
Qualifying Scheme The Creative Pension Trust is a Qualifying Workplace Pension Scheme
Scheme name The Creative Pension Trust
Contracting out The Creative Pension Trust is not a contracted out scheme
Pensionable pay definition (this is the earnings on which contributions are calculated)
Contributions payable to the Creative Pension Trust are calculated based on Qualifying Earnings.
The constituent parts of Qualifying Earnings for auto enrolment purposes are:
• Salary or wages• Commission• Bonuses• Overtime• Statutory Sick Pay• Statutory Maternity Pay• Ordinary/Additional Statutory Paternity Pay• Statutory Adoption Pay
Only those earnings between £6,032 and £46,350 per year, or £503 and £3,863 per month, or £116 and £892 per week for the 2018/19 tax year are pensionable. You must ensure your payroll is set up correctly so that earnings below and above these amounts are not used to calculate pension contributions.
Salary sacrifice Contributions cannot be paid by salary sacrifice.
Contributions to be set up in the payroll (as a % of Qualifying Earnings)
To 5 April 2019 From 6 April 2019
2% employer contribution 3% employer contribution
3% employee contribution 5% employee contribution
These are the mandatory minimums and is the default contribution basis. If contribu-tions greater than these minimums are required, please call our helpdesk on 0345 606 0424.
Tax basis
Contributions are taken before tax is assessed in the payroll but after NI calculations (often referred to as the Net Pay Basis), therefore 1% of qualifying earnings must be collected from the scheme member’s gross salary before income tax is assessed.
Do NOT ‘net’ this figure down or reduce it to deduct standard rate tax relief.
i) Setting up the company pension scheme
If there is a pension scheme already set up in payroll for some or all employees, please call our helpdesk on 0345
606 0424 before proceeding any further.
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ii) Assigning employees to the pension scheme
Once you have set up the pension scheme (at a company level) and when employees need to be enrolled
into the pension scheme, you will need to adjust the employee payroll record within the payroll system. This
enables contributions to be deducted from their salaries when they have to be enrolled.
Typically this will be done through the pension or deduction section of the payroll system in the individuals
own record. Please refer to your payroll software user guide for specific information about how this is done.
We will tell you when you need to enrol employees into the pension scheme, please do not start deducting contributions for any employees until you are notified to do so.
Before staging date we would recommend you run test examples for a small sample of employees to ensure the payroll is calculating and deducting the correct pension amounts from the employee’s wages.
b) Providing the payroll dataWe need certain employee information every time you process the payroll. This enables us to assess
employees, communicate with them and confirm to you when employees need to be enrolled into the
pension scheme.
Note: we need employee data for all employees every time the payroll is run, not just for the employees who are enrolled into the pension scheme.
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Employee information we need and creating your Report
The data fields required in the report that you upload into our system each time you close the payroll are
detailed below.
If this data can be provided in this exact format there will be no other information you need to provide.
However if you are unable to replicate this template our system can be easily configured to accept the reports
generated from your payroll software.
Importantly, if you can generate a report which includes all of this data and/or more, we can easily map this so
our system will accept the report template that you produce.
If however you cannot produce a report that includes all of this data, the minimum information that must be
provided every payroll run is highlighted in yellow in the Template Data File shown on page 6 opposite.
The missing information can be incorporated into your first file upload, with subsequent reports
incorporating the highlighted fields only. This will mean that for any new joiners, the additional information that
can not be provided through the regular upload report will have to be entered manually.
Please call our helpdesk if you need any assistance. If you can forward to us the template data you can generate
from your payroll software (incorporating at least the highlighted fields) we will be able to map this for you on
our system.
Entering missing information each pay period
Every time you provide payroll data to us we will tell you on-screen if there is anything missing and you will
need to provide it before you can complete your update. We will let you know of any changes that you need to
make to your payroll before the next payroll run at the end of the process . We will also send an email to you in
advance of every payroll date to remind you to upload your payroll report.
Uploading your pay data to our system
With our solution you will only ever have to make changes to the employees’ payroll records at the following
payroll run. You do not have to wait for any reports to be sent to you before you process the payroll.
EmployeePayroll Number
Title First Name
Surname NINumber
Date ofBirth
Gender AddressLine 1
AddressLine 2
AddressLine 3
AddressLine 4
Postcode Date JoinedCompany
EmailAddress
Gross Earnings for the pay period
Employee contribution amount
EmployeeAVC
Employer contribution amount
Employer AVC
Number Text Text (no initials)
Text NI formate.g.AB 123456C
dd/mm/yyyy
M/F Text (no commas)
Text (no commas)
Text (no commas)
Text (no commas)
Text dd/mm/yyyy
Text Number Number Number Number Number
c) Uploading the payroll dataAll headings (such as row 1 in the example above) MUST be removed from the CSV file that you upload.
Before the report is loaded into our system it must be converted to a CSV document. Importantly, you must ensure that any numeric fields are set to zero if they have no value and are not left blank and that Address Lines 1 and 2 have been populated (Address lines 3 and 4 can be blank).
An example of what a file should look like before you upload it is shown below.
1 Mr John Green AB123456C 06/01/1970 M 50 Croydon Rd Croydon Surrey XY1 2AB 06/01/1990 [email protected] 1400 0 0 0 0
2 Miss Jayne Brown BC234567A 07/01/1971 F 51 Croydon Rd Croydon Surrey XY2 3AB 06/01/1991 [email protected] 1500 0 0 0 0
3 Mrs Janice Black CD345678D 08/01/1972 F 52 Croydon Rd Croydon Surrey XY3 4AB 06/01/1992 [email protected] 1600 0 0 0 0
4 Mr James White EF4567891E 09/01/1973 M 53 Croydon Rd Croydon Surrey XY4 5AB 06/01/1993 [email protected] 1700 0 0 0 0
Template Data File
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Setting up pension deductions and creating reports
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d) Communicating with employeesEmployees and scheme members need to receive various statutory communications under the workplace
pensions legislation. It is therefore very important that we have either a work or personal email address for employees.
Where we hold a valid unique work or personal email address, we will supply these communications directly to
the employee. Where we do not hold a valid email address, we must supply personalised communications to the
employer which need to be passed to employees.
In these circumstances, we cannot accept responsibility for delivery so we strongly recommend that valid email addresses are supplied.
It is very important that communications are supplied to employees and scheme members in a timely manner
as the communication often marks the start of a specific period such a postponement period or opt out
window. If we have to send information to the employer it is very important that this is passed on to employees
immediately.
Providing a work or personal email address for employees minimises the administration needed to comply with auto enrolment.
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Step 1
Check that the date of payroll is correct. Click ‘Browse’ to select file.
Step 2
Select the correct file. Click ‘Open’.
3. How to upload payroll data filesThis section of our guide will show you how simple and straight forward it is to upload payroll data files into our
automatic enrolment system.
As with many things, get it right the first time and you avoid problems with future payroll runs.
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Step 3
Click ‘Upload’.
Step 4
If there are errors, this screen will appear. Note the error messages and rectify your file. Click ‘Reset Import’
to upload your amended file.
Example of ErrorMessage
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Step 5
This screen will then appear. At this point you can reset the import if there are still errors or if you have
selected the wrong file. If so, selecting ‘Reset Import’ will start your upload from the beginning. If you have
no errors click ‘Continue Import’ (and proceed to Step 7). If there are warnings against any employees,
click on each employee to check the warning and tick ‘Accept’ where required. Please ensure you click
every employee with warnings and then select ‘Continue Import’.
Step 8Please ensure you click every employee with warnings
Example of Warningscreen to check
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Step 6
This box will appear if you have not accepted all the warnings.
Step 7
You have not finished at this point.
If you have any zero earnings for this period you will need to follow Steps 8 and 10, otherwise click ‘Confirm’
on this screen and go to Step 11. If you have any missing data you will need to click on the highlighted
‘Complete Missing Data’ and provide the data (see Step 9).
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Step 9
If a member has data missing, click on ‘Complete Missing Data’ and the screen below will appear. Enter the
missing details and click ‘Save’.
Example of missing Title
Step 8
Select the reason in the dropdown box and click ‘Save’. Any employees who have left employment, this is how
they are identified.
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Step 11
The screen below will appear after you have clicked ‘Confirm’.
Click to print any communications for members without email addresses. If you print any communications,
please distribute to employees immediately.
Tick to confirm and click finish. You must click ‘Finish’ otherwise the upload will not complete.
Step 10
Click ‘Save’ when missing details have been entered.
When done click ‘Confirm’ to move on to the next stage.
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Step 12
You have now completed your upload. Any changes for the next payroll will appear on the screen. These
will also be confirmed by email. If there are no amendments for the next payroll, the PDF with the email
will be blank.
How to contact usPhone: 0345 606 0424 between 9am and 5pm (Monday to Friday, excluding Bank Holidays)
Email: [email protected]
www.creativeautoenrolment.co.uk
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Creative Pension Trust is an occupational pension scheme governed by Pan Governance LLP (company number OC333840) of 3 Castlefield Court, Church Street, Reigate, Surrey, RH2 0AH. The scheme is sponsored by Creative Auto Enrolment (company number 8554978). The registered office is Cannon Place, 78 Cannon Street, London, EC4N 6AF.
Helpdesk phone number: 0345 606 0424
Online: www.creativeautoenrolment.co.uk.
Email: [email protected]
CAE/0518/268
