Content provided by Sovereign Pensions.
If your business employs between 15 and 50 people, the deadline to offer a workplace pension scheme has already passed. The extension window closes at the end of September, so there is still time to act, but not much of it.
We know this can feel stressful, particularly if it has crept up on you. Once the extension window closes, non-compliance with Gibraltar’s Private Sector Pensions Act becomes a real issue, potentially carrying fines and difficult conversations with staff who are legally entitled to a pension they do not yet have. The good news is that you do not need to work this out alone. If you are unsure where to start, that is exactly what we are here for.
If you employ 14 people or fewer, your deadline falls next year, but the businesses now working against the clock are a useful warning. Acting early means avoiding the same time pressure when your own deadline arrives.
The Basics, Reminded
If it has been a while since you last looked at the detail, here is a quick refresher.
Who is eligible? An employee must be enrolled if they are over 15 years old, have worked for you for one year or more, and earn at least £10,000 a year in gross earnings. This includes part-time and short-term staff who meet the criteria, so high staff turnover does not exempt you.
What do contributions look like? Employers and employees must each contribute a minimum of 2% of gross earnings. Employers can choose to contribute more as part of a wider benefits package. There is typically a one-off implementation fee to set up the scheme, plus ongoing administration fees to cover Trustee obligations, record-keeping and reporting.
What about opting out? Employees can choose to opt out. If they do, they must complete an opt-out form, which the employer is then responsible for submitting to the Pensions Commissioner. The opt-out form is available on the GFSC website.
Who oversees compliance? The GFSC acts as Pensions Commissioner. You are required to notify the Commissioner when you set up your scheme and to report any changes within 30 days.
What if I get something wrong? Missing deadlines or failing to enrol eligible staff are the most common mistakes. Working with an experienced provider reduces this risk through tested systems and ongoing local support.
Does GFSB membership help? Yes. GFSB members receive a 30% discount on setup costs with Sovereign, so it is well worth mentioning your membership when you get in touch.
Making it straightforward
Sovereign has built a quick way to establish exactly where you stand. Our online workplace pension quote request form takes around five minutes to complete. Provide some basic information on staff numbers and salaries, and our team will follow up with a personalised illustration of costs, so you know what to expect before committing to anything.
Complete the quote request form:
Prefer to speak with someone directly? Our local pensions team is available:
To learn more about the schemes available, visit gibraltarpensions.com. With September closing in, now is the time to act.
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