One of my staff has built up pension savings above the lifetime allowance. Do I still have to put them into a pension scheme?
Some individuals, who have already accrued pension savings above the lifetime allowance are protected from tax charges, provided no further tax-relieved pension contributions are made. If a member of staff with lifetime allowance protection is put into a pension scheme, then they could face significant tax charges.
Where an employer has reasonable grounds to believe that the member of staff has this protection, such as where the member of staff has the evidence to show this, then the employer can choose whether or not to put them into a pension scheme or to re-enrol that member of staff.
For further information go to Detailed guidance: Employer duties and defining the workforce (paragraph 100).