Pensions
- Executive Schemes
- Small Self Administered Schemes
- Personal Pensions-Employed/ Self Employed
- Self Invested Personal Pension Schemes
- Group Personal Pension Plans
- Unapproved Retirement Benefit Schemes
- Stakeholder Schemes
Final Salary Pension Scheme Funding
Final Salary Pension Schemes or Defined Benefit Pension Schemes are causing employers a challenge in respect of ‘Scheme Funding’ requirements. These schemes are often in ‘deficit’ and need to be addressed. These deficits are regularly highlighted in Company Accounts due to the FRS17 Accounting Requirement.
Morley and Scott Financial Planning offer a service to employers who have Final Salary Pension Schemes and are concerned about their long term sustainability and their effect on the survival of their business.
Case Study: Company Pension Scheme funding issues
Mr Jones, a director of a private company asked for advice in respect of the staff pension scheme. The scheme was being administered by an insurance company, which had received very poor press relating to its solvency. Mr Jones was concerned that the value of the fund might be significantly eroded if the insurer were to be put into receivership and that the company might be considered liable for any financial shortfall being felt by the employees. He also expressed concern about recent investment returns.
Morley and Scott Financial Planning transferred the scheme to another insurance company with a strong credit rating. If the new company were to run into difficulties in future, the scheme could be transferred at no cost to another insurance company. The costs of advice, full member consultation and implementation were borne by the new insurance company. The salary charges are now “stakeholder” friendly with no penalty applied for pension cessation, transfer or early retirement.
To find out how we can be of service to you, please contact your nearest office or complete the enquiry form below.
| London t: 44 (0)20 7387 5868 |
Solent t: 44 (0)1489 566 700 |
| Portsmouth t: 44 (0)23 9275 4820 |
Thames Valley t: 44 (0)1753 759 000 |
