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Auto Enrolment Pension Calculator
Enter an employee's gross pay to see the minimum employer and employee auto enrolment pension contributions due under the 2026/27 rules, instantly.
How is this calculated?
Qualifying earnings are the slice of gross pay between the lower (£6,240) and upper (£50,270) thresholds for 2026/27. Contributions are calculated as a percentage of that band, not of total pay.
The statutory minimum is 3% employer and 5% employee, totalling 8% of qualifying earnings. Anyone aged 22 to State Pension age earning over £10,000 a year must be automatically enrolled; those earning less can opt in and still receive an employer contribution.
These figures are statutory minimums for guidance only, based on 2026/27 rates confirmed unchanged by the Pensions Minister on 18 December 2025. They don't account for salary sacrifice, certification bases, or scheme-specific rules. Speak to us or your pension provider before making decisions.
How auto enrolment works
Every UK employer must automatically enrol eligible workers into a workplace pension and pay in at least the minimum contribution. The employer picks a qualifying scheme, assesses staff each pay period, and puts the right workers into it. Contributions come from the employer, the employee and tax relief on the employee's share.
Quick example: an employee on £30,000 a year has qualifying earnings of £23,760 (£30,000 minus £6,240). The employer pays 3%, which is £712.80, the employee pays 5%, which is £1,188, and the total going into the pension is £1,900.80 a year, or about £158.40 a month.
Which workers are covered
What you must do for a worker depends on their age and earnings. The thresholds below are the 2026/27 figures used by this calculator.
| Type of worker | Who | What the employer must do |
|---|---|---|
| Eligible jobholder | Aged 22 to State Pension age, earning over £10,000 a year | Enrol automatically and pay the minimum contribution |
| Non-eligible jobholder | Aged 16 to 74, earning £6,240 to £10,000, or aged 16 to 21 or State Pension age to 74 earning over £10,000 | Enrol if they ask to opt in, and pay the minimum contribution |
| Entitled worker | Aged 16 to 74, earning under £6,240 | Let them join a scheme if they ask, with no employer contribution required |
Your duties as an employer
- Assess your staff at your staging date and then every pay period, to see who needs enrolling.
- Enrol eligible workers within six weeks of their eligibility date. You can postpone assessment for up to three months in some cases.
- Tell your workers in writing that they have been enrolled, and how to opt out.
- Pay contributions on time, normally by the 22nd of the month after deduction.
- Declare compliance to The Pensions Regulator within five months of your duties start date.
- Re-enrol eligible workers who opted out about every three years, and re-declare each time.
The cost to your business
The employer's contribution is a business expense, so it normally reduces Corporation Tax. It is also not subject to employer National Insurance when paid into the pension. Employees get tax relief on their own share, which is why the take-home cost shown in the calculator is lower than their gross contribution.
Want a hand? Our team sets up and runs auto enrolment for employers across Essex and London, including scheme setup, assessments, ongoing contributions and the declaration of compliance. Get in touch for a free quote.
Auto enrolment calculator FAQs
What are the minimum auto enrolment contributions for 2026/27?
The statutory minimum is 8% of qualifying earnings in total, with at least 3% from the employer and the rest, normally 5%, from the employee. Qualifying earnings are the part of annual pay between £6,240 and £50,270.
Who has to be automatically enrolled?
Any worker aged 22 or over and under State Pension age who earns more than £10,000 a year and works in the UK. Workers who earn less, or who are aged 16 to 21 or between State Pension age and 74, can ask to join and the employer must contribute for some of them.
Are contributions worked out on total pay or qualifying earnings?
On qualifying earnings by default, which is the band of pay between the lower and upper thresholds, not total pay. Some schemes use total pay or basic pay instead, as long as the scheme meets the certification rules, so check what your scheme uses.
Does an employee have to stay in the pension scheme?
No. An enrolled worker can opt out within one month of being enrolled and get any contributions back. Employers must re-enrol eligible workers who opted out about every three years.
What happens if an employer does not meet auto enrolment duties?
The Pensions Regulator can issue a £400 fixed penalty and then escalating daily penalties of between £50 and £10,000, depending on the size of the employer. Late or missing contributions can also lead to further action.
Does a company with only a director have to offer auto enrolment?
Generally no. A company with a single director and no other workers has no auto enrolment duties, though it should confirm its position with The Pensions Regulator. The duties apply as soon as the company has another worker.
Can an employee pay more than the minimum?
Yes. The figures here are the minimums. Many employers pay more, and employees can increase their own contributions at any time. Higher contributions get tax relief within pension annual allowance limits.
How accurate is this auto enrolment calculator?
It shows the statutory minimum for a single employee on the standard qualifying earnings basis for 2026/27. It does not cover salary sacrifice, scheme-specific certification rules or other pay bases, so check those with your pension provider or an accountant.
Based on 2026/27 rules. See: The Pensions Regulator, employers and GOV.UK workplace pensions.