© NEST Corporation 2014

Welcome to NESTA presentation for line managers

© NEST Corporation 2014

Legal information

© NEST Corporation 2014. All rights reserved. This information does not constitute financial, investment or professional advice and should not be relied upon as such. Reproduction in any form of all or any part of these slides is prohibited.

© NEST Corporation 2014

Your workers’ new workplace pension rightsMillions of workers are getting the opportunity to save in

a workplace pension schemeWe may have to automatically enrol workers into a pension scheme if they’re not already in oneWe may have to put money into the scheme on behalf of workers if they’re eligible Workers may also get tax relief from the governmentIf workers don’t want to become a member they can opt out

© NEST Corporation 2014

Who’ll be automatically enrolled?

If a worker is at least 22 but under State Pension age and earns more than £10,000 each year

they’ll be automatically enrolled

they’ll get contributions from us

they can opt out within one month of enrolment

they’ll receive a letter giving them more information

© NEST Corporation 2014

© NEST Corporation 2014

A new workplace pension scheme

NEST is for the millions of people who want a good value workplace pension scheme that does the hard work for them.

Easy to understandWorkers can look after their account onlineLow chargesManages worker’s money carefully according to their age Workers have one retirement pot for life which they can pay into if they change jobs

© NEST Corporation 2014

Who pays into workers’ retirement pots?

© NEST Corporation 2014

Retirement funds designed around your workers

NEST 2058 Retirement

Fund

NEST 2039Retirement

Fund

NEST 2022Retirement

Fund

© NEST Corporation 2014

NEST’s other fund choices

NEST offers choice for those who want itNEST Ethical FundNEST Sharia FundNEST Higher Risk FundNEST Lower Growth FundNEST Pre-retirement Fund

© NEST Corporation 2014

Taking money out of NEST

Members can take their money out at any time after reaching age 55They can buy a retirement income, take a cash lump sum or a combination of both If members suffer from ill-health they may be able to take their money out earlyIf members die before taking their money out they can make sure it goes to their loved ones

© NEST Corporation 2014

What’s going to happen?

We’ll send workers a letter letting them know their optionsIf workers are automatically enrolled or opt in, NEST will send them a welcome pack with their NEST IDOnce they have their NEST ID they can switch on their online account

© NEST Corporation 2014

What if workers are automatically enrolled and want to opt out?

They can opt out within a month once they’ve got their NEST ID:OnlineBy telephoneBy post

© NEST Corporation 2014

When is this happening?

The new employer duties affect different organisations at different times, depending on their sizeWe’ll let you know our organisation’s staging date

Oct 2012

Feb 2014

Apr 2014

Apr2015

Jan 2016

Employers with 250 or more

staff

Employers with 50 to 249 staff

Employers with 30-49 staff

Employers with fewer

than 30 staff

Aug2015

Oct 2015

April 2017

Oct 2017

Oct 2018

© NEST Corporation 2014

What do you need to do?

Discuss the new workplace pension reforms and NEST with your team to raise awareness and understandingBe careful not to give your team financial advice – more information is available at thepensionsregulator.gov.ukIt’s your legal duty to not encourage your team to opt-outFor guidance on talking to your team about pensions visit nestpensions.org.uk/communication-material

© NEST Corporation 2014

Workers need to keep their details up to dateMake sure your workers have a valid National Insurance

numberEncourage them to keep their details up to date using their online NEST accountThey should tell NEST who they want their retirement pot to go to if they die before taking their money out of NESTTell them where to go for more information about the workplace pension reforms and NEST

© NEST Corporation 2014

Where to go for more information?

For more information visit:nestpensions.org.ukthepensionsregulator.gov.ukwww.dwp.gov.uk