Final Salary Review Wind-Ups &
Bundling
Final Salary / DB Schemes
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Have you
got a Final Salary Pension scheme?
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If so, you are probably
aware that Final Salary Schemes are:
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very costly
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legislatively a pain
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come with huge potential
liabilities for the Trustees
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an administrative burden
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most SMEs, and many
large companies, have jettisoned them, or are doing so as quickly as
possible
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But winding up a Final
Salary Pension Scheme is normally not feasible
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So what is the solution?
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You can close the scheme
to new joiners
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You can cease further
accrual of benefits for existing members
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Make the
Final Salary Scheme 'paid up'
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Change 'Paid Up' unbundled
arrangements to bundled to reduce the cost and complexity
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Set up a Group Money
Purchase arrangement (GPP, Stakeholder or Group SIPP)
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Existing Final Salary
Scheme members keep their current benefits but accrue future benefits in
the new scheme
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Offer the benefits of
Salary Sacrifice to staff with their new Money Purchase arrangements
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Arrange group seminars
and data explaining how the new arrangements are more flexible and
'modern'
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Offer staff full
face-to-face pension, tax and financial
advice
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Provide them with a
detailed Employee Benefits Handbook 'selling' to them the benefits of
their total employment package
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Better still, have a full on-line admin
system which really 'sells' the benefits to your staff
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Possibly offer the extra
flexibility of a Group SIPP
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Above all, COMMUNICATE
what is going on - and our on-line administration system really does
this!
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And your workforce will
be happy and you will save money, hassle and legal grief
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Sounds Simple? - That's
because we do it all and we make it simple for you!
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Wonder why nobody has
suggested this to you before?
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Want to find out more? -
Enquire about Final Salary Wind Up now!
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Final Salary / DB Schemes
Bundling
What
do we mean by Bundled?
 Many
Final Salary Schemes are Unbundled
This
means that lots of different advisors get involved, each with their own expenses
It used to be the popular trendy option, following the route of looking
for 'best of breed'
However, now with new systems, one company can do the job much more
efficiently
A Bundled scheme is an integrated scheme, all run by one pension
company; it is cheaper and easier
If
you are closing your Final Salary scheme to new members and stopping further
accrual for existing member you should bundle it
Bundled Final
Salary Schemes
Arranging for all these services to come from just one company
gives the potential for cost, efficiency and time improvements
Where the Final Salary scheme is now closed to further accrual,
reducing costs becomes even more vital
We will review bundled providers for you and advise who can most
cheaply and efficiently provide these services
From first review to final implementation can take as little as 5
months
Trustees are required to demonstrate both understanding and a
competent discharge of their responsibilities
Member Nominated Trustees are now required in many circumstances
Trustee training is now vital
We can arrange for a one day course covering the basic issues
What Next?
If you have a Final Salary Scheme in place you know things are
complicated
Bundling, with other services we can provide, can:
Reduce costs
Reduce complexity and administration time
Allow you to get on with running your business instead of running a
pension scheme
Reduce Member Trustee Liabilities
And, if you haven't put in place a Money Purchase alternative yet,
you need to do this
So, contact us for a preliminary meeting, then we can find out what
you've got, what you want and get things moving
Final Salary Wind Up or Bundling Enquiry Form
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