In answering this question, let me start by pointing you towards some useful information on SSAS Pensions. We’ve made available a series of ten short videos entitled ‘So you want to know more about a SSAS.’ CLICK HERE to access them. They will provide you with a good understanding of a SSAS Pension.
For those who are owner directors of a trading limited company there is the option of setting up your own SSAS scheme. This provides you with total control over investment strategy and the flexibility to use the funds in a much wider range of ways than provided by a standard pension. Because each SSAS scheme has eleven member places you are able to invite others to join your scheme – family members or business partners for example. This is particularly useful where you are looking to raise funds to purchase commercial property or help support your own entrepreneurial projects.
Joining an existing scheme is an option for those without a limited company. There are no set up costs and it’s a quick and easy process. The offer to join an existing scheme is usually there because the scheme is looking to raise investment funds for its own projects. This is very common within the property sector. In joining an existing scheme, you will be expected to invest some of your funds into the scheme projects. You would normally choose the amount to invest and it should never be more than 50% of your fund in order to ensure that you diversify your investments and spread your risk.
Whichever option is chosen a SSAS provides a flexible, tax efficient solution for entrepreneurial people. It puts them in control of their funds and gives them the ability to access some of these funds to support their own business activities.
If you’d like to find out how a SSAS pension could work for you call us now on 07834 600024 or email email@example.com to arrange an informal chat over a virtual coffee.