Investment
Freedom
SIPPs may invest in any asset quoted on any recognised stock exchange
in the world and in most types of collective fund. They may also
invest in commercial property, and borrow money for property purchases.
With a SIPP, there is no need to compromise on any holding, or
choose from a restricted range, as the very best in each sector
can be brought together to produce a highly personalised private
portfolio within a pensions wrapper.
A SIPP holder can make the investment decisions themselves or may
appoint a professional adviser. Active management is essential
however, to maximise the benefits of the wider investment choice
offered by SIPPs.
A SIPP also requires an Inland Revenue approved administrator and
trustee to ensure all the paperwork is sound and that the scheme
qualifies for tax relief. The overall cost of a SIPP usually consists
of a fixed element and transaction/management costs. Although historically
expensive, some SIPP providers (including those we recommend) are
now very competitive - making SIPPs a realistic option for many.
Transfers
Moving an existing Personal Pension(s) to a SIPP could help you
optimise your pension portfolio. However you should make sure you
will not be disadvantaged by transferring. Points to consider include:
• Checking for transfer penalties.
• Comparing charges.
• Establishing if you are receiving any cover for life assurance
or waiver of premium.
• Checking whether your existing pension offers Guaranteed
Annuity Rates.
Are
you a Controlling Director?
If you are, please keep reading, you will
be very glad you did!
Do
you already have a SSAS in place?
Is it with Scottish Equitable, Norwich Union,
Scottish Amicable, Pru or Hazell Carr? (many
other SSAS providers also come into this
category) If so, you may potentially be in
serious trouble.
Many Scheme Administrators resigned on A
Day (they would have sent you a letter, you
probably would not have understood what it
meant)
What it does mean is that the legal responsibility
for running the SSAS is now down to YOU.
But you will still be paying the same fees
(maybe more) as before.Under the new rules,
if anything goes wrong it is your fault -
and you get fined!
You NEED a Scheme Administrator
to sort out the legal stuff for you!
Switch the SSAS to us, and we sort out
all this for you, and you don't face
this legal nightmare
Apart from that we provide greatly more
proactive technical and commercial advice
to you and your company (many companies
have a SSAS and have received very little
ongoing help and advice; a SSAS without
advice is of very little use)
Often we can reduce ongoing charges and
fees; because we are independent specialists
we can find the lowest charge options
for you.
We can arrange for your SSAS to invest
in any allowable investment, many existing
SSAS managers ban their clients from
investing in perfectly legal investments;
we work for you, not against you
SSAS What are they and why do you want
one?
A SSAS is a Small Self Administered (Pension)
Scheme, it would be better described
though, as a Small Self Invested Scheme.
It is like a SIPP, but is for Directors
only. It can be taken out by one or more
(max 11) Directors of a Company.
A
SIPP is an individual pension for one person.
More than one SIPP can jointly buy assets,
but you each have your own SIPP. A SSAS is
a group scheme for one or more directors.
It is particularly ideal for family owned
companies. In many ways it is much much better
than a SIPP
SSAS have 3 potentially HUGE advantages;
they are explained below
Your SIPP can work with those of fellow
Directors to make a purchase
You should also read the section on SIPPs,
because SIPPs and SSASs have a lot in common;
it is just that SSASs can do some really
interesting things that SIPPs can't
SSAS:- The 4 major advantages
Do you have children or dependents you
would like to leave your assets too upon
death?
It is possible that with a SSAS your pension
fund can be left TAX FREE to your children
upon your death. The Government may change
this, we can't guarantee it, but we can
set things up in a way that makes this
quite likely. It costs nothing extra, so
you potentially get a huge Inheritance
saving, and if it gets banned you are no
worse off!
Are there three or more of you interested
in self investing? If so, a SSAS is probably
cheaper to set up and run than SIPPs.
Do
you want to buy a commercial property or
similar major assets? A SSAS can own the
property, it is legally neater and cheaper
than having a number of SIPPs jointly own
the property and gives the company more control
over the asset. Do you want to use the SSAS
assets to help develop your company?
In some cases a SSAS can make loans to
the sponsoring company.
I think I want a SSAS:- what next?
As you can see, SSAS are a very powerful
planning tool. But, they are extremely
complex to advise on and set up. We do
the hard bit and keep it simple for you.
You get the tax and flexibility advantages,
we sort it out for you. However, we do
strongly recommend that you read the SIPP
section. Then you will understand what
a SIPP can do, and the extra advantages
of SSASs. Initial telephone advice is free
and without obligation. We then agree a
fee and meet with you and your fellow Directors
to discuss implementation. If you are interested
in a SSAS, please initially give us as
much information as possible about your
situation, and we will take it from there.
Also, please note that the above is only
meant to be a generic run through of some
advantages of SSAS; it is not in any way
a definitive explanation of what they are
and how they work; they are complex.
SIPPs may well be more appropriate for
you than SSASs. We will advise you which
is best for you and your company . |
