Director Pension Schemes

The value of pensions and investments can fall as well as rise, you may get back less than you invested. Tax treatment varies according to individual circumstance and is subject to change.

• Small Self-Administered Schemes (SSAS) are arguably the most popular type of Director Pension Scheme.
• Essentially, they permit a small group of trustees appointed by the company to decide how to invest the funds. The trustees are also tasked with keeping the scheme within HMRC’s rules to ensure that the tax exempt status is granted.
• SSAS Director Pension Schemes benefit from allowing the employing company to make tax free contributions to its members.
• SSAS assets can include commercial property and the scheme has the ability to loan to the employer from scheme assets.
• SSAS schemes can be used to facilitate an MBO (Management Buy Out).
• The earlier the Pension scheme is set up the better, as the initial investment has a longer period to grow until it is used at retirement.
• Typically, at retirement, the member may take a maximum of 25% of the investment as a tax-free cash lump sum. This is standard with most pensions.

We differ from other advisory firms in that we provide truly joined up financial advice, meaning that we understand what ‘financial planning’ comprises of, i.e. working with a quality financial adviser, accountant & possibly legal firm, depending on your requirements. We bring these threads together to join up the dots and ensure that nothing is missed from your business and personal financial plan.

For more information, please get in touch.