Small and medium businesses are at risk of choosing unsuitable pension schemes because of a lack of auto enrolment knowledge among accountants, according to an article in First Voice, the magazine for the Federation of Small Businesses.
The article cites a recent report that stated while 70% of small firms with four or fewer employees would turn to their accountant for auto enrolment advice, 43% of accountants believe they do not know enough about auto enrolment to give accurate and up to date advice. It also revealed that more than half of accountants admitted to advising all of their clients to choose the National Employment Savings Trust (NEST) auto enrolment scheme, without researching whether this would be the best option for their clients.
Colin Giffen, our Corporate Director strongly advises both small and medium sized firms seek advice on a range of auto enrolment schemes to ensure they choose the scheme best suited to their firm as the most cost effective solution may not turn out to be the best option in terms of time, company resources or longer term costs.
*Federation of Small Businesses magazine ‘First Voice’ March/April issue, page 3.