Basic earnings include earnings before deductions, holiday pay and statutory pay such as maternity, paternity, adoption and sick pay. The workplace can exclude some elements of pay such as bonuses, overtime, commission and some allowances.
The whole of a worker’s basic earnings count for working out auto enrolment contributions. So, if you chose our auto enrolment standard 102 plan for a worker with basic earnings of £20,000, you would use the whole £20,000 to work out their pension contributions.