A Small Self-Administered Scheme is also known as Self-Administered Pension Scheme (SAPS) or Self-Directed Trust. It is useful for both directors and employees. It has greater flexibility and gives you more control over the investments and costs of your pension wealth planning. It is approved by the Revenue Commissioners and is an excellent vehicle for maximising the tax efficiency of your pension planning.

What are the benefits of setting up a small self administered pension scheme?

There are a number of benefits associated with SAPS.

Tax efficient.

Employer contributions (within Revenue limits) are allowable as a deduction against Corporation Tax. They are also not treated as a benefit in kind for the scheme member. This is in contrast to a wage increase in a similar amount, which would attract an income tax liability for the employee.

The employee's contributions to the scheme also attracts income tax relief.

The growth of a SAPS is tax free. Currently a SAPS is exempt from, Income Tax, DIRT, Capital Gains Tax in Ireland.

Control

You can control the choice of assets your SAPS invests in, subject to revenue requirements.

You also have control over the level of risk you are willing to take. This gives you great flexibility when it comes to taking advantage of any investment opportunity which may arise.

The above areas of control mean that you can also know the level of costs associated with the SAPS. These costs are also tax deductible for the company.

You can control the amount of contributions into your scheme.

It is a great way to move assets into a pension vehicle.

It is a great estate planning tool.

What happens if I die before retirement?

The value of your SAPS at the time of your death is used to provide benefits for your next of kin. A lump sum of up to four times your salary can be paid to your estate tax free. If there are funds remaining after this payout, then an annual income for dependants can be purchased with the surplus.

What is the difference between a SAPS and an ordinary pension?

The main difference is that instead of giving your contributions to an insurance company to invest on your behalf, you invest the money yourself, with the help of a pensioneer trustee, who must be Revenue Approved. We can help with all the details of setting up the scheme so that it meets these requirements. We work with a number of such trustees, who would be available for your self administered pension scheme. The revenue have placed some restrictions on how you can invest the pension funds. 

Where can I get independent qualified advice on SAPS in Ireland?

Our qualified experienced experts can help you to decide if a Self-Administered Pension Scheme is suitable for you. We will advise on how to set it up and how best to maximise the growth potential of the scheme. We offer a complete Pension Service to employers in Ireland. Contact us today for a Free, no obligation, consultation. Telephone 1890 666 666 or use the blue call me back button. {KomentoDisable}

 

Business Life & Pensions

Any business is only as good as the people working in it.

Have you ever considered what would happen to your business if the key people died?

It would take time to replace them.

How would you survive financially, during the changeover period?

That's where business life insurance policies can help.

There are various policies available to provide funds at a crucial point in the development of your business.

For more information, read our articles on;

Business Life Insurance

Co-Director insurance,

Key person insurance,

Business income protection,

Partnership insurance,

Business Pensions

Pension Schemes,

Self-Administeres Pension Scheme,,

Executive Pensions,

PRSA Scheme,

Occupational Pension Plan,

Business Retirement Planning Review.

Speak to one of our qualified experts today on 1890 666 666  {KomentoDisable}

We all need to plan for the future.

The state pension is not enough to provide a comfortable lifestyle.

You will need to take steps to augment this.

You need to start now.

It is a mathematical certainty that the sooner you start your pension, the more it grows.

All that and tax relief.

Here is a list of the personal pension products available in Ireland. {KomentoDisable}

If you would like more information please contact us on 1890 666 666

or use the call me back button

  Annuity

  Personal Pension Plan

  Pension Life Cover

  Self - Administered Pension Scheme

  Pension Transfer

  Pension Comparison Service

 Retirement Planning Review

 Retirement Income Goal

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 Mind the pension gap

Employer PRSA Scheme

 Access

Employers who:   {KomentoDisable}

• Do not currently operate an occupational pension scheme for their employees ,OR

• Who operate an occupational pension scheme but there is limited eligibility for membership for retirement benefits, OR

• Who operate an occupational pension scheme but there is a waiting period to join for retirement benefits of more than 6 months, OR

• Who operate an occupational pension scheme but do not provide an AVC facility to all employees

• Must provide employees with access to at least one Standard PRSA where contributions can be made by payroll deduction, i.e. under the net pay system.

Obligations on employer

Employees who fall into any of the categories above are referred to as ‘excluded employees’

The employer is required to:

• Notify excluded employees of their right to contribute to the Standard PRSA by payroll deduction.

• For employees who wish to contribute, deduct employee contributions from wages and remit to the Standard PRSA

• Allow PRSA providers and intermediaries worksite ‘reasonable access’ to excluded employees at the workplace for the purpose of ‘concluding standard PRSA contracts’.

• Allow excluded employees, subject to work requirements, ‘reasonable’ paid leave to enable them to make arrangements for the establishment of a Standard PRSA.

Employers are NOT obliged to contribute to any employee’s PRSA; their obligations relate principally to providing certain employees with access to a Standard PRSA.

Remittance of contribution

Employers who are required to provide employees with access to a Standard PRSA at work, to which contributions may be made by employees by deduction from salary, are subject to two obligations in relation to such conditions:

• Remit the PRSA contributions deducted within 21 days of the end of the month in which the deduction is made from the employee’s wages or salary, to the PRSA provider’s custodian account. The employer can not make any deduction from these contributions before remission to the PRSA provider.

• Notify each employee each month of PRSA contributions deducted from wages, and any employer contributions, made during the previous month. This can be done through the employee’s payslip.

Pensions are for life. Jump in. Sort it out and enjoy life.     

Personal Pension Plan

 A Personal pension operates by building up a single contribution or regular contributions to accumulate a capital lump sum by retirement which is then used to provide retirement benefits.

 Who can contribute?

Contribution can only be made by an individual if

• Has a source of taxable ‘relevant earnings’ in the current tax year, OR

• Had a source of taxable ‘relevant earnings in a prior tax year AND paid a contribution to a PPP or section 785 term assurance policy.

Relevant earnings are earnings from a non-pensionable employment or taxable income from a self employed trade or profession.

In general only the individual who takes out the PPP can contribute to it.

Retirement benefits

An individual can draw on a PPP:

•  At any time after age 60, but before age 75 (doesn’t have to retire)

• At any time in event of serious ill health where individual is deemed to be permanently unable to work again.At any time after age 50, where the individual’s occupation is one where people would normally retire before age 60 i.e. athlete.

• If the individual dies before taking any benefits the value of the pension is paid to their estate.

How can benefits be taken ?

On retirement benefits can be taken as follows:

• 25% Tax free

 Balance to buy

• Annuity

• ARF
• taxable cash

 (Subject to a minimum requirement €63,500 AMRF/ Annuity) {KomentoDisable}

What should I do next?

You should get independent advice from one of our qualified experts.

You can use the get a quote button 

or contact us by telephone 1890 666 666

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Income Protection for you.

With tax relief up to 41%

Ever wondered how you will pay your bills/ mortgages, look after your family should you be unable to work and have no income?

mypremium.ie can ease this worry for you by protecting your income with an Income Protection policy.

A huge benefit of taking out an Income Protection policy is that you can avail of tax relief at your marginal rate of tax thus making your premium more cost effective. (Your premium will be reduced by either 20% or 41%)

I am self-employed how does this affect me?

The government will only pay State Illness benefit of €188 per week for employed people. Therefore if you are self-employed you will have to be entirely self-sufficient and it is extremely important that you protect your income with an income protection plan.

Income Protection pays out a regular income (up to 75% of gross income) after a deferred period should you be unable to work due to sickness, accident or disability up to retirement age.

Here at mypremium.ie we can choose from a huge range of Product Providers to tailor the best plan to meet your specific needs.

Flexible Options:

• Range of Deferred Periods: 4, 8, 13, 26 & 52

• Guaranteed Premiums- premium will remain fixed for the whole term of the plan

• Access to Best Doctors- a second medical opinion

• Waiver of premium- do not pay your premium during a claim

• Guaranteed Insurability: Increase your cover by up to 20% of the original amount every three years

• Own Occupation- benefit paid if insured is unable to carry out their normal occupation

• Change of Occupation- life insured is not penalised for changing occupation

• Indexation- premium & cover amount will increase each year

 Is my income protection affected if I change jobs?

If your income protection was paid for by your previous employer as a core benefit, then you should consider taking out a new policy to cover your new circumstances.

Factors which can influence your decision include; amount of cover required, your income, will your new employer pay for it?

What other policies should I consider?

In addition to income protection, you should examine the benefits of the following:

mortgage payment protection insurance>>

accident & sickness plan>>,

medical cash plan>>,

personal accident plan>>

income cash plan>> and

best doctors plan >> .

These are general insurance plans, which are designed to provide cash support when you need it most.

You should explore their benefits when trying to arrange the most affordable way to protect against life's difficulties

You should compare the market when seeking information on income protection.

Our experienced experts can prepare a quotation for you based on comparison of the best policies available, and will help you decide on your best policy.

Protect your family today, don’t delay. Call one of our Financial Advisers on 1890 666 666 for an in-depth consultation.

Or use the quote button 

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