Scheme pension.

A key feature of our SSAS plans is the ability to provide continuing income through the use of Scheme Pension.

Scheme Pension can be particularly useful for individuals in impaired health and can include an option to guarantee a minimum term pension of up to 10 years. This allows your client the freedom to continue to invest assets up to, and sometimes past, the date of death.

Additional members can be included in the Scheme if appropriate.

Please note. We have currently suspended Scheme Pension until clarification is received that the impact of the Pension Bill regulations in November 2011 will not affect self invested pension schemes.

What is Scheme Pension?

Scheme Pension is an income payable directly from the pension scheme without the need to purchase an annuity or go into Capped Drawdown or Flexible Drawdown.

The Scheme Pension is calculated at outset by an actuary and is payable for life. The actuary may take account of individual factors including the member's health and, on occasion, the investment strategy of the Scheme. A guarantee period of up to 10 years may also be included.

Like an annuity, the Scheme Pension income can be paid after death to beneficiaries for the remainder of any guarantee period, at the discretion of the Trustees.

In some cases, the income payable under Scheme Pension will be greater than income paid under Capped Drawdown and the total payments to the member and their beneficiaries on their death can be higher than under Capped Drawdown or an insured annuity.