The Right Pensions Solution

Making sure that you put the right solution in place for your retirement needs is essential to safeguard a good quality of life for your golden years. We consider three solutions that you may wish to discuss with us.

Self-Invested Personal Pension (SIPP)

A Self-Invested Personal Pension can be the ideal vehicle to accumulate wealth for your retirement years, if appropriate to your situation. Although individuals can set up SIPPs, they are also attractive when arranged on a group basis for professional partnerships or as an alternative to occupational pensions and group personal pension plans (GPPs).

Investment choice

A SIPP is a self-administered or self-invested arrangement, which allows you to take an active part in where your money is invested. These functions can be performed by you or delegated to a professional third party. They can offer a wider investment choice and administrative flexibility compared with traditional insured personal schemes.

Why a SIPP?

Transfers can be received from other pension schemes (excluding contracted-out benefits).
Direct investment can take place in stocks and shares traded on recognised exchanges including AIM (excludes Ofex), unit trusts/OEICs, managed life and pension funds, cash, and commercial property and land.
In purchasing a commercial property, the SIPP can borrow up to 75 per cent of the purchase price.
SIPPs can be used to postpone an annuity purchase while generating income within predetermined limits.

Small Self-Administered Pension Scheme (SSAS)

Are you a company director? If so, then your pension arrangements should also take account of the advantages of executive schemes such as SSASs. In times of need or opportunity, these schemes should be able to provide an additional bank account too.

Not only can pension funds be used for commercial property purchase, but they are also permitted to make loans to companies, within certain limits. That said, never overlook the fact that, despite their tax and other financial advantages, the main purpose of setting up pension arrangements is to provide for members' retirement.

Executive Pension Plan (EPP)

If you are an owner-director of your company wishing to provide pension enhancements for both yourself and your senior employees, then an Executive Pension Plan could be the ideal solution for your company's pension arrangements. To find out more, e-mail or contact us.

For a complete independent analysis of your current pension arrangements and requirements, please e-mail or contact us for further information.

(article date 03/2003)

Have you ever considered holding business property in your pension fund? Talk to us about the considerable benefits available

Levels and bases of, and reliefs from, tax are subject to change. Because these investments may go down in value as well as up, you may not get back the full amount invested. The amount that can be contributed into pension schemes is subject to set limits.