Auto enrolment FAQs

What is automatic enrolment?

To help everyone to save more for their retirement, employees who:

  • earn more than £10,000 a year;
  • are aged over 22 and under State Pension age; and
  • work or ordinarily work in the UK

must be enrolled in a pension scheme by their employer. You can opt out of the scheme at any time, but you will be re-enrolled every three years (at which point you can opt out again if you choose). When you join AXA, you are enrolled into the AXA UK Group Pension Scheme from the day you start work.  

Will I still be automatically enrolled in the Scheme if I am currently drawing a pension from the AXA Group Pension Scheme or another AXA pension scheme?

Yes, if you meet the eligibility criteria, you will still be automatically enrolled into the Scheme. You will be able to opt out again but only once you’ve been automatically enrolled. See Q7 and Q8 for details of how to opt out. 

Can I join the Scheme before I become eligible for automatic enrolment?

Yes, you can join the Scheme before you become eligible for automatic enrolment. You should complete an Opt in Form.

What is PaySmart?

Paysmart is the salary sacrifice arrangement for all employees of AXA UK. By making your contributions through Paysmart or any salary sacrifice arrangement, you make both income tax and NI savings. If you don’t make your pension contributions through Paysmart, then you will only receive income tax savings. 

What if I don’t want to make my contributions through Paysmart?

If you are currently making your contributions via Paysmart and wish to stop, then you will need to complete and return the Paysmart opt out form. Please note that if you opt out of Paysmart, then you will no longer receive National Insurance relief on your pension contributions.

How much will I have to pay?

You will be automatically enrolled based on the default contributions applicable to your area of the business. You can find out how much this is and what it will cost you with the contributions calculator.

Can I change how much I contribute?

Yes, once you’ve been automatically enrolled in the Scheme, you can make changes to your contribution. You can find out more about paying more (or less) in our contributions section.

Can I opt out of the Scheme?

Yes, you can choose to opt out of the Scheme if you want to, but you cannot opt out before you’ve been automatically enrolled. Opting out is a serious decision which could materially affect your long term financial well-being. You should therefore think very carefully about the consequences of opting out and you may wish to take independent financial advice before making your decision. If you do opt out, you will still be covered for a lump sum death benefit, but it may be at a lower level than as a Scheme member. 

How do I opt out of the Scheme?

Once you are enrolled, you will receive a letter confirming that you are an active member of the Scheme. You will then have a period of one month from the date on the letter to either opt-out online or complete and return an ‘Opt-out Form’. This is known as the opt out period. You can opt out by getting a form from Aegon.

If you require any help with the website or have any issues you can contact Aegon on 0345 603 4048.

As long as you have opted-out by the end of the opt out period, you will be treated as having never been an active member of the Scheme and your contributions, if any, will be refunded via payroll, with appropriate deductions of PAYE and National Insurance.

If you do not opt out within the opt out period then any contributions made to the Scheme will remain invested until you choose to take them at retirement, or transfer them to another pension scheme.