Pensions 2013Lee Gardner

Today’s Agenda

• Who are Gardner Independent• Reasons for today’s meeting• Recommendations• Next Steps • Questions

Who are Gardner Independent

• Over 22 years industry experience• Over 1500 clients • Locally based company and advisers• Independent advice• Full range of services offered• Face to face advice

Range of services

• Personal

Pension planning Savings and investments Critical illness cover Life assurance Income protection Private medical insurance Will writing Mortgages Household insurance

• Corporate

Employee benefits implementation Flexible employee benefits

Executive Pension schemes Group income protection Group Private Medical Insurance

Group death-in-service and dependants benefit schemes Partnership and directors share protection

Key person business protection Advice for your employees if required

Reasons for today’s meeting

• To provide a background to changes in pension legislation

• To advise and recommend necessary changes that you may want to embrace

What changes need to be addressed

• Current areas concerning pensions are:• NEST• Governance • The pension regulator • RDR

NEST

• Employer contributions will be 3%• Employee contributions will be 5% including

tax relief• Run by TATA• Auto-enrolment - 22 years+• Phased in from October 2012• Fines for non compliance

What does all this mean to you

• RDR• End of commission• Fees for advice ( can be

taken from product)• Certain providers will

‘honour’ pre RDR arrangements

COMMISSION

In Summary

• More regulation

• More onus on employer

• Move to auto enrolment

• Removal of commission

Recommendation

• Pension contributions for directors –consider salary exchange

• Set up Group pension scheme ?• Pre-empt all the legislative changes• Independent financial advice available for

company and staff on an ongoing basis

Salary Exchange

£100 contribution and insurer adds 20% tax relief £25pm

Traditional method

salary exchange

You can afford to £100 pm from take home pay and pay basic rate tax

£100 deducted from your net pay

Gross £144.93Less automaticTax relief £28.98NIC saving £15.95

Net cost £100

You agree to exchange £144.93 from gross pay

Total invested£125.00 pm

Total Invested£163.48 pm

Employer contribution plus employer NI saving £18.55 pm

Other areas to consider

• Shareholder protection

• Key man cover

• Private Medical insurance scheme

• Financial clinics for employers

Next steps

• Agree pension contribution levels for directors• Medical insurance illustrations• Requote existing insurance plans• Set up member scheme ?• Personal financial reviews for directors

Any questions ?