A Group Personal Pension is if an employer makes an arrangement to offer personal pensions to a group of employees.
This is a contract-based defined contribution scheme where each employee has a separate contract with the pension provider or adviser but the contributions are collected by the employer through payroll.
Pensions and employer
- A competitive pension scheme is an invaluable employee benefit. Pensions are one of the most crucial employee benefits that employers contribute towards. It helps retain, reward and attract employees; it can also improve your reputation as an employer and attract the quality staff you need.
- Planning is key for every business and we believe that at the forefront of this, the most rewarding activity for you as an employer is the financial wellbeing of your staff. We aim to understand your business on an individual level and deliver solutions that cater to your personal needs. Our plan aims to engage, inform and empower your employees.
- With Automatic Enrolment laws, every Employer in the UK has to enrol their eligible members of staff into a workplace pension. See our Automatic Enrolment service to find out more.
How do pensions work?
Investing in a pension plan is simple:
Your Company and the tax man make regular payments during your working life. Your employer may also contribute.
Payments are invested
In one or more of a range of professionally managed funds. Charges and investment performance will affect the fund value.
When you retire
Any money held in your pension fund is normally used to provide an income. Your pension income will be taxed as earned income. You can take part of your pension fund as a tax-free lump sum which means you will receive a smaller taxable pension.