It will affect every UK employer and employee

By 2012 all employers will have to provide a good quality work pension scheme by law and not enough employers know it yet according to some research published by JLT and YouGov. Of the 500+ companies surveyed, 38% had no idea what they were going to do when Personal Accounts are introduced with only 6% fully understanding them.

With indications that employers could face penalties if they do not comply, education around the new pension Personal Accounts are time relevant.  If you are a company still not in the know, Chesterford is happy to help. An initial 2012 Health Check costs nothing. The effects on both you and your employees could be huge. We can help you start planning now.

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Bishops Stortford based employee benefits consultancy and independent financial adviser, Chesterford, has introduced a new look to symbolise its determination to encourage more small to medium sized business to put employee benefits nearer the top of their agendas.

Chesterford’s new website, ‘Behind the numbers’, uses some key figures to demonstrate how small to medium sized businesses can use cleverly thought out employee benefits schemes more to their advantage, particularly in these challenging financial times. chesterfordgroup.com

For businesses without employee benefits schemes in place, one of the most important numbers is 2012, the deadline set by the 2008 Pensions Act by when all employers have to contribute towards their employees retirement.

Chesterford Managing Director, Patrick Gray voices concern that “many companies are as yet unaware of this new legislation and it could be a very steep hill for many to climb if they leave planning for the event until the last minute”.

Aside from the important financial messages, Chesterford’s new branding also shows its desire to reinvigorate what can be quite a dry subject. It projects itself as a new kind of employee benefits provider offering small to medium sized businesses a more personable and creative approach to something that can give financial departments quite a headache.

Background

Chesterford is the trading name of The Chesterford Wealth Management Group set up by its current Managing Director, Patrick Gray , in 2002. Chesterford is based in Farnham near Bishops Stortford. It currently has 35 clients using its employee benefits services. Chesterford has six staff, three full time employees and three consultants providing independent financial advice with an additional external human resources expertise.

Software Development Company

Pensions, life protection, critical illness, private medical cover, income protection

Mark Johnson wanted to perform a health check across his entire employee benefits scheme to ensure they were doing the job they were set up to do. By examining claims experience across his protection benefits and asking a number of  ‘what ifs’, we were able to recommend certain updates were put in place.

We also sampled employee attitudes towards what they were getting and recommended a communications programme to demonstrate the value of the group pension scheme.

Recruitment Company

When you are spending upwards of 15% of your payroll cost on employee benefits, you want to make sure they are being well received. Well that’s what Jacqui Cartine felt. Particularly as she was in the people business herself.

When we were recruited to modernise and run her existing Employee Benefits scheme, this was an important part of her brief.

Fast growing publishing company

Having acquired two companies over a period of three years, Will Fison was looking for a way to consolidate no fewer than nine separate employee benefit schemes.

He also had no internal Human Resource Function to draw upon.

We researched the schemes across the group and summarised our findings in a simple spreadsheet. We found a solution that maximised trade-offs for both company and its employees. We also brought in a Human Resource specialist to help deal with some of the important issues arising from the changes.

Example: The Acquiring Company

Import/Export Business

With money tight in recessionary times, Claire Faith wanted to find a way of rewarding staff short and long term without putting her salary bill up.

We reduced employees individual tax payments, increased their net income and achieved savings on employers’ National Insurance equating to £8,960 in the first year by implementing an alternative pension contribution structure.

A win-win for both employees and the company.

Startup Company

Mindful of new legislation coming into effect in 2012 imposing a legal duty on employers to enrol all eligible staff in a pension scheme, Caroline Finn wanted to start now rather than be hit with major costs nearer the time.

She also wanted the ability to recruit and motivate high quality staff by offering at least the same or more than the competition.

Example: The Start Up Company

Scientific Research Company

When Theo English was lucky enough to realise over £2 million in maturing shares, he wanted to understand how much longer he needed to work in his business before he could wind down with complete financial security in every eventuality.

His goal? To buy a yacht and sail around the world with his wife.

The story so far? He has used our planning tool to find funding to put his children through private schooling and has some short term financial goals in place to bring him some important steps closer to realising his life dream.

Our starting point … Chesterford Wealth Management