Auto Enrolment Workshop eworkbook April 2018 ver1.5

Transcription

1 Auto Enrolment Workshop eworkbook April 2018 ver1.5 Name Course Trainer Date of Course 1

2 Auto Enrolment Workshop Course Agenda, Aims & Objectives Course Agenda Session 1 - Course Aim, Objectives and Licensing Session 2 - Size of the Market Session 3 - View from the Regulator Session 4 - What s in it for me? Session 5 - Intrinsic Proposition - AE ² Session 6 - Aviva Lunch Session 7 - Royal London Session 8 - SAGE Payroll Session 9 - ease Middleware Session 10 - Fee Charging case studies Session 11 - Sales Process Session 12 - Market Opportunity case studies Course Aim To license you to give Auto Enrolment and GPP advice. Introduce you to the Intrinsic AE proposition to enable you to deliver the right outcome for your client (employer). This will enable the employer to be able to comply with their duties for AE. Summary & close 2

3 Course Objectives By the end of the course you will: Understand the duties of the employer under AE legislation Know how the Intrinsic AE proposition will support you to provide the right outcome for all your clients. Be clear in being able to assist the employer in meeting with those duties. The relationship of responsibility is with the Employer and the Regulator. Provide potential ongoing service and advice to both Employer and Employees if required. 3

4 Interactive Index for this eworkbook Auto Enrolment Workshop Course Agenda, Aims & Objectives... 2 Interactive Index for this eworkbook... 4 Session 1 Course Aims, Objectives and Licencing... 5 Session 2 Size of the Market... 6 Session 3 View from the Regulator... 7 Session 4 What s in it for me?...12 Session 5 The Intrinsic Proposition...13 Session 6 AVIVA...14 Session 7 Royal London...15 Session 8 Sage Payroll...18 Session 9 ease...20 Session 10 Fee Charging Case Studies...22 Session 11 Sales Process...23 Session 12 Market Opportunities...30 APPENDIX...31 Links to important Intrinsic documents...31 Links to useful websites & downloads...32 Links to useful Videos

5 Session 1 Course Aims, Objectives and Licencing 5

6 Session 2 Size of the Market Size of the Market Year Employers Workers ,000 2,550, , , ,000 1,500, ,000 1,800, , , ,000 companies still to stage (over 2m employees) 300,000 new start up companies still to stage (May 2017) 80%+ will take advice Tri-annual re-enrolment market Secondary market Ongoing need for AE advice 6

7 Session 3 View from the Regulator 7

8 Session 3 View from the Regulator 8

9 Session 3 View from the Regulator 9

10 Session 3 View from the Regulator 10

11 Session 3 View from the Regulator 11

12 Session 4 What s in it for me? 12

13 Session 5 The Intrinsic Proposition 13

14 Session 6 AVIVA AVIVA Quote & Apply 14

15 Session 7 Royal London 15

16 16

17 17

18 Session 8 Sage Payroll How much does it cost? Who do I contact? 18

19 19

20 Session 9 ease 20

21 Session 9 ease ease charge Intrinsic 0.50 per employee processed through the system each month. Optional The employer set up service 65 per payroll 21

22 Session 10 Fee Charging Case Studies Case Study 1 M&M Builders Case Study 2 Chip Shop Mike 22

23 Session 11 Sales Process 23

24 Corporate Client Agreement Corporate Fact Find 24

25 25

26 Pensions Matrix 26

27 Suitability Letter Invoice Template AE Checklist 27

28 Pre approvals form 28

29 29

30 Session 12 Market Opportunities Case Study 1 M&M Builders Handouts & Hyperlinks Case Study 2 Chip Shop Mike 30

31 APPENDIX Links to important Intrinsic documents AE Brochure Intrinsic (Intrinsic Extranet) AE Brochure Pos Solutions (Intrinsic Extranet) AE Corporate Agreement (Intrinsic Extranet) AE Fact Find (Intrinsic Extranet) Auto Enrolment Case Study Exercise AE Suitability Template (Intrinsic Extranet) AE VAT invoice template (Intrinsic Extranet) AE Document Checklist (Intrinsic Extranet) AE Advice Process (Intrinsic Extranet) AE Letter Good Outcome AE Pension Matrix (Intrinsic Extranet) 31

32 Links to useful websites & downloads The Pension Regulator Website TPR - Employers Section TPR Business Advisers Pension Tracing Service Keeping Records Detailed Guidance for Employers (TPR Website) BR19 State Pension Forecast (gov.uk website) TPR - Completing the Declaration of Compliance TPR Choosing a Pension Scheme TPR - Employer Reporting and Regulatory duties 32

33 Links to useful Videos Aviva Creating new opportunities for Advisers 33

34 AE case study 1 M&M Builders Fact finding and Fee Structuring Mark and Mary run their own Building and Construction firm M&M Builders LLP. They employ 15 labourers all of which are on the books and they also contract to some other skilled workers who he uses to do such tasks as Plumbing and Carpentry. The skilled workers are all self-employed but they use all the gear provided by M&M Builders LLP and any liability on their work is down to M&M. Mark and Mary also employ two administrators who are responsible for doing the wages and looking after the running of the office. Mark is really involved in building and Mary mainly prices the jobs for the business, both draw a salary from the business. Mark and Mary freely admit to having no knowledge of Pensions, although they have an old scheme that a few of the staff pay into. Mark and Mary don t really want to be involved too much and will leave that to Julie one of their administrators who works parttime. They have a Payroll system that Julie likes and that is SAGE 50. All of those employed by M&M are between the age of 22-SPA and earn over 10,000 a year and are all paid monthly. Mark and Mary have asked you to sort out their AE problem and have the letter from TPR confirming a staging date of 1 st October Considerations What questions will you ask of Mark and Mary? What services will you be looking to offer to them? What recommendations could you consider making to Mark and Mary for Pension, Payroll and Middleware? What fees might you consider charging for each area of advice? 34

35 AE case study 2 Chip Shop Mike Fact finding and Fee Structuring Mike runs his own chip shop and has five employees, most of which work part-time but they are all aged between 22-SPA and earn over 10,000 a year. Mike does not take a salary from the business and pays himself a dividend every month. Mike is not that interested but knows he has to do something but wants it to be simple and straight forward so he can explain it to his employees. He does not do the wages these are done by his Accountant but when Mike has mentioned AE to him, he has said it isn t an area he gets involved but has a solution which will help him with the current payroll that he uses. Mike has become frustrated as no advisers want to deal with him, he thinks it is because his business is deemed as small fry but he does admit he doesn t want to pay too much to set this up as he thinks his employees won t really be interested. Considerations What questions will you ask Mike? What services will you be looking to offer him? What recommendations could you consider making to Mike for Pension, Payroll and Middleware? What fees might you consider charging for each area of advice? 35

36 AE Sales opportunity Case Study 1 M&M Builders Now that you have set up the Pension scheme for Mark and Mary and everything is in place to stage, they have agreed that you can discuss their own needs and objectives, as well as talking to the employees if you wish. Mark and Mary Have 50% share in business each and both aged 48 Draw a salary of around 40,000 each Two children, Bill and Ben age 8 and 6 No mortgage but no Protection either (bit sceptical) Most money in Bank Both have Pensions but not a King s ransom. Employees Julie and Jackie aged 44 and 46 admin staff both earn 25,000 Bill (52) manages the staff earns 35,000 and someone Mark and Mary rely on All employed labourers earn at least 20,000 Skilled contracted workers earn 30,000-40,000 They all limited experience and knowledge of having a Financial Adviser What would you be considering for? Mark and Mary? Julie and Jackie? Bill? Employees? Contractors? Anything else? 36

37 AE Sales opportunity Case Study 2 Chip Shop Mike Mike is delighted that you have sorted out his AE and has agreed that you can talk to him and his employees about their financial needs and objectives. Mike Mike is 48 and actually has a third share in the business with his elder sister and Mum. Mike is single and has no children, loves travelling and holidays and fast cars Mike has saved money but mainly in Bank and Building Society He currently lives above the shop which has a flat, he wants to buy his own house and then let the flat Employees Mike has five employees and all earn around 12,000 with the exception of Bob Bob is Mike s right hand man and has worked at the Chip Shop for over 20 years. Bob is 48 went to school with Mike and is married with 4 children ranging from 12 to 3. What would you be considering for? Mike? Bob? Other employees? Any other area to consider? 37