In recent years the pensions industry has become more advanced in terms of the flexibility of investments available and the structure of the actual pension arrangements.
It is an area of constant change and you should consult us/me regularly to make preparations for a secure and enjoyable retirement.
Self Invested Personal Pensions (SIPPs)
We operate our own ‘in house’ SIPP, known as the McDonald Associates Personal Pension (MAP Pension), to which we can provide administration, trustee and advisory services, or whatever of these clients require. In addition to this, we able to utilise the services of third party SIPP providers where deemed appropriate.
A Self Invested Personal Pension (SIPP) is a tax-efficient wrapper within which a wide range of investments can be held. A new SIPP must appoint a scheme administrator, usually the recognised product provider. SIPPs have the same tax benefits and regulations as conventional personal pension plans but you and/or your advisers have control over the investment choice – each SIPP is unique to the individual. Otherwise, it operates in the same way as a conventional personal pension in respect of contributions and eligibility, for Her Majesty’s Revenue & Customs (HMRC) purposes.
The complex nature of a SIPP means that it is not suitable for all investors. Often, the benefits of ‘self investment’ are only advantageous to people with very large funds and/or investors with some level of sophistication when it comes to investment decisions. Often, there are additional charges for arranging and dealing within a SIPP and these charges would erode smaller funds quickly.
The benefits of using a SIPP include being able to invest in:
- Stocks and shares listed or dealt on an HMRC recognised stock exchange, including AIM
- Unit trusts, open ended investment companies (OEICs)
- Government stock and fixed interest stock
- Commercial property & land
- Property funds
- Bank deposit accounts
We will be able to provide more details and make a recommendation based on your own circumstances.
Pensions are a long term investment. You may get back less than you put in. Pensions can be and are subject to tax and regulatory change; therefore the tax treatment of pension benefits can and may change in the future.
Small Self Administered Schemes (SSAS)
We can provide the full range of administration, trustee and advisory services, or whatever of these clients require.
Regarded as one of the most tax efficient and flexible pension vehicles available to directors of limited companies. A particularly tax efficient and attractive feature of the SSAS is its ability to invest in commercial property and borrow and lend money, enabling company directors, through their SSAS, to act as landlord, tenant and bank manager. This can be particularly advantageous for companies looking to grow over the medium to long term.
Independent Trustee Services
Prior to 6 April 2006, the Inland Revenue required all SSASs to appoint a Pensioneer Trustee (“PT”) as one of the scheme trustees. The PT had to be a signatory of the scheme bank account and party to all investments held, including commercial property and equities.
Through our subsidiary, McDonald Trustees Ltd, we were able to provide full PT services in-house and, as a consequence, can provide identical services now as an Independent Trustee
We will be able to provide more details and make a recommendation based on your own circumstances.
Pensions are a long term investment. You may get back less than you put in. Pensions can be and are subject to tax and regulatory change; therefore the tax treatment of pension benefits can and may change in the future.