A “Small Self Administered Scheme” is a type of workplace/occupational pension scheme with flexible contributions and which can provide unique benefits to a company. A major benefit of a SSAS is its ability to offer increased flexibility on where the scheme’s assets can be invested. Examples of these include (subject to limits and certain terms and conditions):
- to purchase the company’s trading premises and leased back to the company.
- to lend money to the company.
- to purchase the company’s shares.
- to use the SSAS to borrow money from a lender for investment purposes e.g. a mortgage to purchase the company’s premises; repayments may then be covered, in all or in part, by the rental income the company pays the SSAS.
A SSAS is run by its trustees who are members of the scheme plus a professional trustee. It is generally set up to provide retirement benefits for – owners/managers or key staff of a business – no more than 11 people. Contributions are made to the SSAS by the members and/or the employer, which typically receive tax relief on those contributions (subject to certain conditions).
A SSAS also has considerable flexibility in relation to drawing retirement benefits in the form of tax-free cash payments and income payments, which can be varied to suit the needs of individual members.
Through our team of actuaries and risk consultants, we provide a complete SSAS service to set-up and administer a scheme. This includes an online portal for full access to the scheme, providing guidance on investment decisions to members/trustees and to act as a professional trustee.
Contact us to find out more to determine whether a SSAS would be suitable for your company.