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Employer won't let me increase my contribution

Shevek
Shevek Posts: 46
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edited 23 February 2018 at 11:29AM in Auto-enrolment
I have recently started working for a new, small company (<15 employees).

I have been enrolled in a Workplace Pension, currently contributing the initial 1%/0.8%/0.2%.

I have requested to increase my contribution but have been told that they do not allow this.

Is that correct, are they allowed to stop me contributing more?

I have googled and read many pages on gov.uk sites but nothing I can find confirms either way.

TIA

Shevek
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Comments

  • HappyHarry
    HappyHarry Posts: 1,554
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    It’s unusual, but I’m not aware of any rules that say an employer has to let you contribute more.

    Could you not open a personal pension and contribute to that, in addition to the contributions you are making to your employer’s scheme?
    I am an Independent Financial Adviser. Any comments I make here are intended for information / discussion only. Nothing I post here should be construed as advice. If you are looking for individual financial advice, please contact a local Independent Financial Adviser.
  • Shevek
    Shevek Posts: 46
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    I have a SIPP from my previous employment which I believe I can continue to contribute to.

    AIUI, I would have to make those contributions directly from my bank account, so wouldn't that lose all of the tax benefits of paying directly from my salary?
  • Shevek
    Shevek Posts: 46
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    Ah, I just logged in to check it and it says:
    all payments made here will be considered individual contributions and basic rate tax relief will be reclaimed
  • LHW99
    LHW99 Posts: 4,137
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    You will get the tax relief in a SIPP, but not any additional employer contributions. However, the employer / employee minimum rates are increasing shortly.
    https://www.nowpensions.com/help-centre/faqs/contributions/what-are-auto-enrolment-contribution-rates
    (This is from Now pensions, but it applies to all the autoenrollment ones.)
  • Shevek
    Shevek Posts: 46
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    I had seen that before but I still want to pay more than that.

    My last firm had a great pension - I put in 6% and they put in 12% (it's the only thing I miss about working there :rotfl:)

    I would at least like to continue my 6%

    So I guess I will put 5% into my SIPP until April, then drop it to 3% after that.
  • Thrugelmir
    Thrugelmir Posts: 89,546
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    Shevek wrote: »
    I have recently started working for a new, small company (<15 employees).

    At a guess. From the employers perspective the administration cost is unwarranted. Given the small number of employees.
  • xylophone
    xylophone Posts: 44,140
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    Which auto enrolment scheme are you in?
  • Shevek
    Shevek Posts: 46
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    It is NEST
  • Brynsam
    Brynsam Posts: 3,643
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    Shevek wrote: »
    It is NEST

    Log in to your account with NEST and you can make extra contributions direct.
  • Mnd
    Mnd Posts: 1,699
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    Agreed, I'm with nest and made additional contributions, also my wife is with the people's pension and we pay extra into that as well
    No.79 save £12k in 2020. Total end May £11610
    Annual target £24000
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