A Small Self Administered Scheme (SSAS) is a company pension scheme, the members of which are usually directors and key employees of the sponsoring employer.
A SSAS, whilst subject to the same rules relating to contributions and benefits as a normal company arrangement, has considerably greater flexibility and control over the scheme's investment policies and its underlying assets.
Trustees can invest in a wide range including cash deposits, stocks and shares, fixed Interest Stocks and Unitized Funds. The Trustees can also purchase commercial property with or without the assistance of external borrowing. The property can then be let to the sponsoring employer or a third party. The Trustees can also lend money to the company on commercial terms for the purposes of it's business. In view of the wide investment powers, H M Revenue & Customs require regular reports of the annual accounts and any designated events that occur. It is therefore important that the scheme makes investments that are within the regulations laid down whilst avoiding investments that will give rise to some heavy tax charges.
Other requirements of a SSAS are that the scheme has less than 12 members and that all members are Trustees. It is no longer a requirement that a professional Trustee is appointed although many clients wish to have that added security.
A SSAS can pay pensions from the fund without the need to purchase an annuity. This permits continued control and flexibility of investments throughout the lifetime of the members. Having said this, the Trustees acting as a body will always be mindful of the requirements of individual members.
PIA Wealth Management specialise in giving advice in the small self administered area of pension business and we can put together a comprehensive package of measures to assist in every aspect of setting up a scheme for you. We will guide you through the maze of legislation, benefits and financial options so that you can be sure that you make the right decisions for all the right reasons.
We have built up an enviable reputation over many years for our expertise in this area so to find out more please click here to contact us and we will arrange a mutually convenient time for one of our specialists to set up a meeting with you.