Consultancy Services
With top experts in all aspects of pension planning Intelligent Pensions takes on specialist remits in all areas on a "one off" basis - whatever the objective. Consultancy services are provided on "time cost" basis but in all cases we will quote in advance for each job. The types of remit we undertake are wide ranging but the following is an indication of some we have handled recently.
Scheme/Member Overfunding Problems
Although the Inland Revenue imposes strict controls on the level of contribution that can be invested under EPPs or SSASs it is not unusual to come across situations where one or more members become overfunded. The scale of the overfunding can often create a serious problem and understanding how to apply the Inland Revenue guidance in the most favourable way is essential to avoid or minimises losses.
Serious difficulties can arise in a number of scenarios, most particularly where the principal employer has been sold. Avoiding these problems is best achieved by getting involved in the negotiations for the sale since after the event it may be impossible to recover any surplus from the new employer.
Failed Personal Pension Transfer Tests
Another area that causes difficulty is the new Transfer Regulations introduced on 6th April 2001. Without good advance planning company directors can fund themselves caught in the transfer trap. Again planning in advance is the ideal solution but where a problem had arisen there may still be the opportunity to devise a planning solution unless the business has been sold.
Where the transfer test has been failed, unlike the previous "GN11" test, there is no point in going to another company since the new regulations require all companies to carry out the calculations on the same basis. However by examining the pattern of earnings and looking at the use of unapproved schemes (FURBS) it may be possible to retrieve the situation in other ways.
Scheme Wind Ups
Winding up pension schemes can cause a range of problems. Where the company is in liquidation it will be normal for the Occupational Pensions Regulatory Authority to appoint an independent trustee. Under the Pensions Act requirements the independent trustee must obtain independent investment advice in decisions that affect the scheme members. We have considerable experience in dealing with OPRA appointed trustees and in designing suitable solutions for equitable distribution of benefits to current and former scheme members.
Company Reconstructions
Mergers, de-mergers, take-overs, management buy-outs or buy-ins are all a part of modern business life. Behind each of these reconstructions there is normally a pension scheme to deal with. Larger companies will normally have there own employee benefit consultants to advise then but medium and smaller employers will often not have access to the same expertise. Guiding employers and scheme trustees is essential and we can offer practical assistance and provide suitable sources for external professional advice such as legal and actuarial services as part of an overall package solution.