The contribution models we support range from a simple model that meets the minimum legal requirements, to more complicated models that include matching contributions.
Setting up your contribution model
Log in to now:u and choose Payments schedule.
On the Payments schedule page, expand the Contribution models section under Manage contribution rate models. Once you’ve set up at least one contribution model, you’ll see them here.
Choose Add a contribution model. Choose your pensionable earnings basis (see A guide to pensionable earnings below) and model type (see A guide to the different types of model below). Set the rates you want. Give the new contribution model a unique name and choose Save.
If you have more than one contribution model, you must choose one to be the default. You’ll see Default in the first column of the table next to your current default contribution model. To change your default contribution model, choose the Default button in the first column of another contribution model row.
You can edit a contribution model by choosing the pencil icon, or delete it by choosing the bin icon.
You can’t delete your default contribution model. If you want to do this, you must first make another contribution model the default. Then you can delete the contribution model you don’t want.
A guide to pensionable earnings
Workplaces make contributions to a worker’s pension savings based on part of their pensionable earnings.
The pensionable earnings basis you choose can have a big impact on the total contributions you and your workers pay. There are different minimum legal requirements for contributions, depending on which of the following pensionable earnings bases you choose.
Qualifying earnings
Qualifying earnings are all earnings between a lower and upper limit set by the government and reviewed each year. They include salary, wages, commission, bonuses, overtime, statutory sick pay and statutory parental leave pay (maternity, paternity and adoption pay).
In 2025-2026 the lower limit is £6,240 and the upper limit is £50,270. Earnings below the lower limit or above the upper limit don’t count for working out auto enrolment contributions.
The minimum legal requirement for paying contributions on this basis is 8% of qualifying earnings. The workplace must pay at least 3% of this.
Basic earnings (at least 85% of total earnings)
Basic earnings include your basic pay and any statutory sick pay, statutory maternity pay, statutory paternity pay and statutory adoption pay. Workplaces can exclude things like bonuses, overtime and commission.
Total earnings
Total earnings are all earnings for a pay period including wages, commission, overtime, bonuses, performance-related pay and any other earnings.
You can find out more about contributions on The Pensions Regulator’s website.
A guide to the different types of contribution model
Standard
The system will work out the contribution rates at the minimum level required by law, whichever pensionable earnings basis you choose. The rates are fixed. You can’t edit them.
Custom
The system will start by working out the contribution rates at the minimum level required by law, whichever pensionable earnings basis you choose. As long as you continue to meet the minimum level, you can edit the model by setting the worker and workplace contribution rates to the values you want.
The system will expect contributions for all eligible workers based on the model. If you want to change the rates in future, you’ll need to edit the model.
Matching
Again, the system will start by working out the contribution rates at the minimum level required by law, whichever pensionable earnings basis you choose.
Edit the model to set the worker contribution rate. You also need to set a maximum workplace contribution rate. Again, you need to continue to meet the minimum level required by law. The system will automatically set a workplace rate equal to the worker rate, up to the maximum you’ve set.
The system will expect contributions for all eligible workers based on the model. If you want to change the rates in future, you’ll need to edit the model. When you change your worker contribution rate, the system will automatically set the workplace rate equal to the new worker rate, up to the maximum you’ve set.
