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Setting Up a Penfold Pension in Sage Payroll (Cloud)

Laura avatar
Written by Laura
Updated this week

Follow the steps below to set up Penfold as a custom workplace pension provider in the new Sage Payroll (Cloud / Online) platform.


Step 1: Log in and select your client

  1. Log in to your Sage Payroll account.

  2. Select the relevant client from your list.

  3. Navigate to Payroll > Pensions.


Step 2: Complete the Workplace Pension Preparation steps

Sage provides a guided process under Workplace Pension Preparation.

Work through each stage until you reach Stage 3 – Review Pension Arrangements.


Step 3: Add the Penfold pension scheme

  1. Under Stage 3, click Add new pension.

  2. Choose Add your own pension.

    Fill in the following details:

  • Pension name: Penfold Pension

  • Employer reference: PEN<Your Companies House number> (e.g. PEN12345678)

  • Address:
    The Ministry
    79-81 Borough Road
    London
    SE1 1DN

    3. Select Add Group, and complete the following:

  • Group name: Penfold

  • Contribution method: Contributions deducted after tax
    (Penfold operates a relief at source scheme)

  • Scheme details:

    • Enter your chosen contribution percentages

    • Select Pensionable earnings basis

  • Tick Automatically enrol employees

  • Tick Qualifying scheme

Click Save.


Step 4: Enrol employees into Penfold

  1. Go to Payroll > Employees.

  2. Select Workplace Pensions.

  3. Ensure Penfold is selected as the pension provider for each relevant employee.


Step 5: Process payroll and submit pension data

  1. Process payroll as usual.

  2. After payroll is completed, Custom Pension should appear on each employee’s payslip.

  3. Finalise the pay run and click Confirm.

  4. Go to Pension Submissions and export the CSV file.

Upload the file to your Penfold Employer Account.

❗️Note: Penfold uses the Relief at Source method—not Net Pay. This means contributions should be deducted after tax. Learn more here. ❗️

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