SSAS Pensions and the benefits!
A Small Self-Administered Scheme (SSAS) is a pension trust set up by a limited company for the benefit of its directors and beneficiaries. As the members are also the trustees, they have control and flexibility over the investment policy and how the scheme should run
SSAS pensions are registered with HMRC and therefore there are valuable tax benefits afforded to this type of scheme, which include:
- Company and personal contributions of up to £500,000 are deductible against tax
- No income tax on allowable investments
- Assets grow free of Capital Gains Tax
- The fund on death can be passed down free of Inheritance Tax
- Loans to the company or a third part can be provided from the funds
While it’s subject to the same rules regarding contributions and benefits as an insured company arrangement, SSAS pensions are much more flexible and gives control of the underlying scheme assets to the trustees. It gives trustees more freedom to direct the investments of the scheme as well as have control over the scheme bank account.
Each SSAS requires a Scheme Administrator whose role is to:
- Register the pension scheme with HM Revenue & Customs (HMRC)
- Report events relating to the scheme and the scheme administrator to HMRC
- Make returns of information to HMRC
- Provide information to scheme members, and others, regarding the Lifetime Allowance, benefits and transfers
If you’d like to find out more about SSAS pensions, we will be hosting a FREE business seminar on Thursday 16th March at Junction 25 Conference Centre in Brighouse.
We will be running a morning session from 10am – 12pm and an afternoon session from 2:30pm – 4:30pm.
If you would like to book your free place, please visit: https://ssas-pension-business-seminar.eventbrite.co.uk