Individual Employee Personal Pensions

Where you contribute to your employees' Personal Pension Plans, to gain exemption from the Stakeholder legislation, you must:

  • pay contributions for each employee of at least 3% of basic pay;
  • document the arrangement with the individual;
  • ensure the plan does not impose exit penalties if the employee decides to cease contributions or transfer to another PPP;
  • make this arrangement available to all employees over the age of 18 who have completed three months continuous service, and includes part-time and temporary or contract workers.