Help Centre for Employees

Will an employee / member get all their money back if they opt out?

Yes, if they opt out within the opt out period.

When an employee opts out within the time frame given in the regulations (currently one month after receiving their joining letter), any contributions deducted will be returned to the employee. The employer is responsible for repaying any employee deductions made back to the employee via payroll. This repayment to the employee must be made as soon as possible.

If they opt out after the opt out period, they will be treated as though they left the scheme and will not be able to claim any contributions back. Some employees may be eligible for a short service refund, but only if they were enrolled to the scheme before 1 October 2015.

It should be noted that a short service refund only relates to the employee contributions and will be subject to tax. Contributions made by the employer or under a salary sacrifice agreement cannot be refunded.

To find out whether an employee is eligible fo

pension refund, auto enrolment refund

r a refund, see ‘Who is eligible for a short service refund?’

An employee can opt back in at any time. See How can an employee opt back in? for more details.

Related resources

What is an opt out period?
Who is eligible for a short service refund?
Who processes and pays opt out refunds to the individual and the employer?

I'm excited by the opportunity to help bring to the UK auto-enrolment market NOW: Pensions, a customer-friendly and responsive trust-based alternative to NEST and to contract-based offerings. — Chris Daykin, the former Government Actuary
“Redington’s Investment Committee assigned an Approved Rating to the NPI DGF and positive on the fund.” — Redington
I am backing NOW: Pensions, the ATP project, because I believe it will encourage transparency, low costs and decent returns for millions of British employees. — Nigel Waterson, former Shadow Pensions Minister
…We pride ourselves on our abilities to make the perfect match for both clients and workers. Our decision to appoint NOW: Pensions came as a result of wanting a quality workplace pension scheme that is structured, simple and easy for us to… — Ian Naylor, Legal Director of Randstad
Over a short period of time, NOW: Pensions has established itself as a respected and credible player in the UK workplace pensions market attracting thousands of employers and hundreds of thousands of members. Joining the team at such a crucial time… — Jocelyn Blackwell, Founder of Dunnett Shaw and Raising Standards in Pensions Administration