Workplace Pensions: Are Firms Missing an Advisory Opportunity?

As we've been getting to know the team, one theme has come up repeatedly: workplace pensions are still too often treated as a compliance exercise rather than an opportunity for accountants, bookkeepers and payroll professionals to deliver real advisory value.

For many firms, workplace pensions are still viewed as a tick-box exercise.

A pension scheme is in place. Auto-enrolment requirements are met. Payroll contributions are processed correctly.

Job done.

But as firms continue to move beyond compliance and embrace advisory services, perhaps it's time to ask a different question:

Is the client's pension scheme actually working for their business and their employees?

Many employers set up a workplace pension to satisfy auto-enrolment requirements and haven't reviewed it since. Yet pensions are often one of the largest employee benefits a business provides, influencing recruitment, retention and financial wellbeing.

That makes them a business conversation, not simply a payroll process.

The Value of Asking Better Questions

Accounting and payroll professionals don't need to become pension advisers to help clients think differently about workplace pensions.

Simple questions can uncover opportunities:

• Is the scheme easy to administer?

• Does it integrate well with payroll?

• Are employees engaging with it?

• Has salary sacrifice been explored?

• Is the provider delivering a modern experience for employers and employees?

These are operational and strategic discussions that sit comfortably within an advisory relationship.

The Salary Sacrifice Opportunity

One area that's often overlooked is salary sacrifice.

Many employers are unaware of the potential National Insurance savings available through pension salary sacrifice arrangements, or have simply never revisited the subject since their scheme was established.

For firms already supporting payroll and business planning, this can be a valuable conversation that delivers tangible benefits for clients.

Challenging the Advice Myth

Another reason pensions are often avoided is concern around regulated advice.

But there is a clear difference between advising an individual on pension investments and helping an employer review their workplace pension arrangements, administration processes and payroll efficiencies.

Too many firms avoid the conversation altogether when there is significant value they can provide.

Looking Beyond the Tick Box

The best advisory conversations help clients make better decisions.

Workplace pensions should be no different.

By moving beyond a compliance mindset and helping clients review whether their current arrangements remain fit for purpose, firms can strengthen client relationships, uncover new opportunities and deliver greater value.

That's why we're excited to be partnering with Penfold.

Over the coming months, we'll be exploring workplace pensions, salary sacrifice opportunities, common misconceptions around regulation, and how firms can turn what has traditionally been a tick-box exercise into a meaningful advisory conversation.

Because the most valuable firms aren't just helping clients stay compliant. They're helping them make better decisions.

Find out more >