| Auto Enrolment Phasing 2025/2026 Tax Year Type 3 certification schemes |
Description | When you process the first period of a new tax year, the phasing wizard helps you check your pension contributions are compliant. The wizard applies the standard total contributions of 8%, with minimum 3% from the employer. If you operate a Type 3 pension scheme with 7% total contributions, follow the steps below to complete the phasing wizard. NOTE: If you don't subscribe to the pensions module, follow our automatic enrolment phasing - increase the contribution rates manually article.
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Resolution | If total contributions for any of your employees is below 8%, the phasing wizard flags this as below the regulatory minimum. With a tier 3 scheme you must run the phasing wizard with rates set to the 8% minimum first. Once you've done this the phasing wizard won't reappear this tax year, and you can amend the rates on your scheme back to the required tier 3 amounts.
NOTE: The phasing wizard is mandatory. You must complete it to process the first period of the tax year. Update to Tier 3 certification - If you haven't yet completed the Phasing Wizard for the 2025/2026 tax year, for example you haven't processed period one yet, follow steps 1 to 17 below
- If you've already completed the Phasing Wizard this tax year, for example your scheme is changing to tier 3 mid tax year, follow steps 6 to 17 to update your rates to tier 3
- Click Payroll, then click Change Process Date.
- Set your process date to your first pay date in the 2025/2026 tax year.
- Select a single employee.
- Click Enter Payments.
- The Phasing Wizard opens, complete this and uplift to the 8% minimum.
TIP: For help to complete the phasing wizard, visit our automatic enrolment phasing - update the percentages using the pensions module article. - Click Close in Enter Payments.
- Click Change Process Date.
- Set your process date to 05/04/2019.
- Click Company then Pension Schemes.
- Select the pension scheme you want to be on the type 3 certification and click Edit.
- Select the Employee and Employer tabs and change to the contributions you wish to use.
- Press OK and Close.
- Open the employee record for an individual on this pension scheme.
- Click the Pensions tab, then click Manage Schemes.
- Select this scheme and click Edit.
- You can check here that the contribution rates are correct. You can also edit contributions here for each employee if required.
- Click Change Process Date, set this to your next pay date in 2025/2026 ready for processing, the pension schemes are now on the 7% minimum.
NOTE: Follow our separate article if you see the error - 'Failed to update pension schemes in the pensions module during this process. [BCB:19:UK - Sales message :ECB] [BCB:257:UKI - Personal content block - John:ECB] |
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