National Employment Savings Trust
(Previously known as Personal Accounts)
Introduction of new Government Sponsored ‘NEST Accounts’ from 2012.
Concept of Auto Enrolment will be introduced.
All employees aged 22 and over, earning at least £5,035 (Figure set in 2006/07*) must be enrolled. This includes temporary and contract workers.
Individuals can opt out.
Minimum Contribution Levels
| From Oct 2012 | 1% Employer X 1% Employee |
| From Oct 2016 | 2% Employer X 3% Employee |
| From Oct 2017 onwards | 3% Employer X 5% Employee |
(Above timetable is subject to amendment).
Maximum Contribution £3,600 pa (set in 2005*).
No transfers permitted in or out of NEST.
1 month 'waiting period’ to join will apply.
Limited Investment options – possibly a “default” investment fund only
* Amounts will be increased in line with National Averaged Earnings from dates specified.