The Basics

A SSAS is a registered occupational pension scheme with a maximum of eleven members.

The employer sets up the scheme under Trust. An employer can be a limited company as well as a partnership or a sole trader. This means that firms of accountants and solicitors can now set up a SSAS for their business.

Each member of the scheme is appointed as a trustee, which means that they control the fund and how it is invested. We are also appointed as a trustee of the scheme (the independent trustee). Our role is to advise the member trustees about the options available to them and to administer the scheme in accordance with HM Revenue & Customs rules.

When a scheme is set up, we apply for it to be registered with HM Customs & Excise. Once the scheme is registered, it can accept contributions (company or personal) and transfers from other pension arrangements (see money in below). A scheme bank account is opened to receive these funds.

A SSAS is a common trust which means that the assets held within it are not usually allocated to specific members. A member's entitlement to benefit from the scheme is expressed as a percentage of the total value of the fund. This percentage is determined by how much money in terms of contributions and transfers has been paid in for them (and what benefits have been taken out).

Once the funds have been received, they are available for the members to invest as they decide (see investments below). We are a party to all transactions and co-owner of all scheme assets with the member trustees.

When the time comes, members can decide to take their benefits directly from the scheme or purchase an annuity.