Most members must be brought into the Pension Scheme automatically when they start employment. An exception to this is casual workers and those workers with a contract of three months or less (unless they are 'eligible jobholder' under auto-enrolment).
All members are entitled to opt out should they chose to do so and further information on this can be found below. Any member who opts out can opt back in again at a later time and notification only applies in line with payroll periods (i.e. normally monthly).
Opting In
If an employee is not eligible to be automatically enrolled on commencing employment or they have previously opted out, then in order to opt in and commence paying contributions the member needs to complete an Opt-In form (PDF, 106 KB)(opens new window) and to send it to their employer or their employer's payroll provider (if this is outsourced).
Once this has been received, the payroll provider needs to begin deducting Employee Contributions from the next payroll period in line with the definition of Pensionable Pay. Send us the New Employer Starter Pack (unless the employer is an i-Connect user) and ensure this person is added to the monthly contributions (again, unless an i-Connect user)
Opting Out
To opt out, an employee needs to complete an Opt Out Form and sends this to their employer or their employer's payroll provider. The Opt Out form must be obtained from the main Wiltshire Pension Fund Member forms section.
Employers should not provide employee's with a copy of the Opt Out form directly, as they will put them in breach of auto-enrolment legislation.
As individual employments are treated separately, members with multiple employments can just opt out of certain employments if they wish. If an employee contacts you about Opting Out of the scheme you may wish to make them aware of the 50/50 section of the scheme as an alternative option.
What should I do if a member opts out before any contributions have been deducted?
An employee cannot Opt Out of the scheme and sign the form before their employment start date.
If this happens then the Opt Out form is invalid and should not be processed.
If you have already reported a new starter to the Fund (either via the monthly administration return or via an individual starter form) then we need to be notified that the employee has Opted Out. Please submit a copy of the Opt Out form via email to pensionforms@wiltshire.gov.uk so we can close down their pension record.
Opting out after pension deductions are taken
If a member Opts out within the first 3 months of starting to pay contributions then all contributions they have paid should be refunded via the payroll as the member is treated as having 'never been a member of the scheme'.
You should notify the Fund about this either on the monthly administration return or by completing an individual leaver form (and providing 'skeleton' information and confirming 'contributions have been refunded via the payroll) so we can close down their pension record.
If a member Opts out of the scheme and has been in that employment with you for less than 2 years they may be eligible for a refund of contributions paid via the Fund. The 'less than two years' membership rule covers all membership of the LGPS within England and Wales and the Fund is required to undertake various checks in order to establish if a member is 'eligible' for a refund.
If a member Opts out of the scheme and has been in that employment with you for more than 2 years then they will not be entitled to a refund and they will be due a deferred benefit which will be calculated and awarded by the Fund.
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