Small Self-Administered Scheme

Existing pension arrangements

Members of a small self-administered scheme may also have pension benefits in other pension arrangements. These could include employer sponsored pension schemes or personal pensions. The assets within these arrangements could be used to fund the SSAS and the following possible courses of action should be discussed with a financial adviser.

Transfer the value of the investments in the other arrangement(s) into the small self-administered scheme in cash form or in-specie. This will increase the funds under the control of the member trustees.
Assign the other arrangement(s) to become an asset of the scheme. This will increase the overall value of the SSAS and contributions to the other arrangement may usually continue. This option is often taken when there are reasons why a transfer of investments is not preferable. This could include the application of a transfer penalty if the funds are moved or the loss of certain rights such as guaranteed annuity rates.
Make the other arrangement paid up leaving the funds with the existing provider. This option may be preferred if there are severe penalties on the fund if a transfer proceeds or if there are guaranteed annuity rates attached to the arrangement and the member does not wish it to be assigned.
Continue to run the other arrangement alongside the new scheme.

This information relates to the Rowanmoor Pensions SSAS.