|
|
|
Employee Benefits
Group Personal Pension Plans and Group Stakeholder Pension Plans are very popular with many different types of Employers.
Group Personal Pensions are a series of individual personal pensions placed under the banner of one Company who would deduct contributions from each individual member and pay the Pension Provider directly each month. Each personal pension is owned by the individual who can take the plan with them if they ever left that Company. The company can choose to pay into these pensions or not. The individuals can choose their own retirement age, and the funds to invest in. This reduces the administration for the company.
|
'Are you getting
the most from your
Group Personal Pension Scheme?'
|
|
.
The tax position is as follows:
| |
Employer - the contributions to the pension plan are treated as a trading expense and are therefore entirely free from corporation tax.
Employee - their contributions are paid net of basic rate income tax and the Insurance Company will collect the relief from the Inland Revenue and put it into their plan. Any employee in a high rate tax band can claim the extra tax relief from the Inland Revenue on their annual tax returns. |
Full advice can be given on Stakeholder pensions, which became a legal obligation for companies with 5 or more employees who do not qualify as an exempt employer on the 6th April 2001. Personal Accounts, which will include an element of compulsion for both Employer and Employee contributions, are due to be launched by the Government in 2012. We will continue to monitor this situation and advise clients accordingly. |
The FSA does not regulate some forms of tax planning
|
|
Authorised and regulated by the Financial Services Authority. Manaton Associates Ltd is entered on the FSA register (www.fsa.gov.uk/register) under reference 455416.
|
Site last updated:April 2010 |
|
|
MANATON
ASSOCIATES LTD.
Southbridge House, Southbridge Place, Croydon, Surrey CR0 4HA
Tel: 020 8240 6522 Fax: 020 8240 6523
E mail: enquiries@manatonassociates.co.uk
|
