What is an SSAS?
A Small Self-Administered Scheme (SSAS) is a flexible occupational pension scheme normally set up by the directors or partners of owner managed and family businesses. The SSAS can be set up to provide retirement benefits for both the business owners and their families.
While the members of the SSAS will usually be appointed as Trustees, it is best practice to also instruct a professional Trustee and pension administrator to take on the roles of ensuring compliance with the legislation and tax rules surrounding SSAS and pensions generally. HMRC recommends that all SSASs retain an independent trustee and administrator to avoid mistakes or even intentional misuse of pension assets which could lead to significant tax charges and personal liability.
The flexibility and cost effectiveness of a SSAS, linked to the tax benefits it can bring to a sponsoring employer, make it the pension vehicle of choice for the director-controlled company.