Auto Enrolment Pension in Ireland
Auto Enrolment Pension in Ireland
This Auto Enrolment webinar helps Big Red Book Payroll users understand what’s changing under
My Future Fund and how to prepare using the latest payroll tools.
Auto Enrolment Webinar Overview
In this webinar, we explain Auto Enrolment and walk through how Big Red Book Payroll supports employers in preparing for My Future Fund. The session covers the key changes being introduced, how eligibility is assessed, and how payroll users can use the new tools within Big Red Book to manage Auto Enrolment accurately and efficiently.
You’ll see a guided walkthrough of the latest payroll features, including how contributions are handled, how eligibility checks work, and what steps are required to prepare for registration with FutureFunds. The webinar is aimed at Big Red Book Payroll users, employers, and payroll professionals who want a clear and practical understanding of what Auto Enrolment means for their payroll process.
This webinar was hosted by Shane Kavanagh and David Costello from the Big Red Book Customer Success team, with Dave Meade, Business Analyst at Big Red Book, leading the live Q&A session. Together, they share hands-on guidance, explain upcoming payroll improvements, and answer common questions around Auto Enrolment, FutureFunds registration, and the new payroll workflow.
What is Auto Enrolment?
Auto Enrolment is a new workplace pension system being introduced in Ireland under My Future Fund. Its purpose is to make saving for retirement easier by automatically enrolling eligible employees into a pension scheme through payroll.
Under this system, employees who meet certain age and earnings criteria will be automatically enrolled if they are not already paying into a qualifying pension. Once enrolled, pension contributions are deducted directly from their wages through payroll, so saving happens automatically without the employee having to take action.
The cost of the pension is shared between three parties:
- The employee, who contributes a percentage of their pay
- The employer, who matches the employee’s contribution
- The State, which adds an extra top-up to support retirement savings
Auto Enrolment is designed to ensure more people in Ireland have a reliable pension in place for the future. While employees can choose to opt out after a set period, they will be re-enrolled at a later date if they remain eligible. For employers, Auto Enrolment will become a standard payroll responsibility, similar to how PAYE and PRSI are managed today.
How Auto Enrolment Works
Auto Enrolment operates on a shared contribution model involving three parties:
- Employees contribute a percentage of their gross pay
- Employers match the employee contribution
- The State tops up contributions through additional funding
Contributions are collected through payroll and paid into My Future Fund. Employees can opt out after a minimum period, but they will be automatically re-enrolled at a later date if they remain eligible. This system ensures pension saving becomes a standard part of employment rather than a voluntary decision employees may postpone.
Who Must Be Enrolled?
Employees will be automatically enrolled if they meet all of the following criteria:
- Aged between 23 and 60
- Earning €20,000 or more per year
- Not currently contributing to a qualifying pension scheme
Employers will be responsible for identifying which employees meet these criteria. Once Auto Enrolment is introduced, eligible employees must be enrolled through payroll, with pension contributions calculated and deducted automatically as part of the normal payroll process. For payroll users, ensuring eligibility is assessed correctly will be a key part of meeting Auto Enrolment obligations.
Important Dates and Contributions
Auto Enrolment is expected to be introduced nationally from 2026, with contributions increasing gradually over time.
Auto Enrolment Contribution Phases
| Phase | Employee Contribution | Employer Contribution | State Contribution |
| Initial Phase | 1.5% | 1.5% | 0.5% |
| Phase 2 | 3% | 3% | 1% |
| Phase 3 | 4.5% | 4.5% | 1.5% |
| Final Phase | 6% | 6% | 2% |
Contributions will be capped at a defined earnings threshold, ensuring fairness for both employees and employers.
Auto Enrolment for Big Red Cloud Payroll Users
If you use Big Red Cloud Payroll, Auto Enrolment will be handled directly through your payroll process once My Future Fund is introduced. Payroll users will be responsible for ensuring eligible employees are identified correctly, contributions are calculated accurately, and deductions are processed in line with Auto Enrolment requirements.
Big Red Cloud Payroll is designed to support this process by helping you manage eligibility checks, apply the correct contribution rates, and maintain accurate payroll records. This ensures employers can meet their Auto Enrolment obligations while keeping payroll running smoothly and compliantly. Staying informed and preparing in advance will help reduce disruption when Auto Enrolment becomes mandatory, allowing you to adopt the new process with confidence and clarity.
More Resources
Explore additional guidance and official updates on Auto Enrolment and My Future Fund. These resources provide useful context for employers and payroll users preparing for the upcoming changes.
- Department of Social Protection
- Auto Enrolment Pension Update for 2026 Rollout
- Auto Enrolment Pension: What’s Next for Employers Under My Future Fund
- Auto Enrolment Pension Set to Transform Pensions in Ireland
Download Material
Download helpful reference material created by Big Red Cloud to support payroll users as they prepare for Auto Enrolment.
Auto Enrolment represents a significant change for employers and payroll users in Ireland. Understanding how My Future Fund works, who is affected, and how payroll processes will adapt is key to staying compliant and avoiding last-minute pressure. By staying informed, using the right payroll tools, and accessing trusted resources, employers can prepare confidently and ensure a smooth transition when Auto Enrolment becomes mandatory.
