Isle Of Man Occupational Pension Schemes

The Isle of Man specialises in all aspects of pension planning, from large multinationals to individual clients. All pension scheme administrators are regulated by the Isle of Man Financial Services Authority (FSA) and are subject to a rigorous approval process and on-going regulatory audit.

The Island’s pension regulations are robust but highly flexible, allowing corporate clients the freedom to tailor retirement solutions to the diverse demands of their operations. For senior employees where traditional pensions scheme do not meet their requirements, a company may wish to provide a bespoke pension or long-term reward arrangement.

A simple tax environment enables pension scheme members to maximise their savings and benefits. Investment income is exempt from tax if the scheme is an exempt approved scheme under applicable domestic scheme tax approval regimes and exempt from income tax if approved under applicable international scheme tax approval regimes. There is no capital gains tax applicable to investments in the Isle of Man.

There is presently no equivalent in the Isle of Man to the UK’s auto-enrolment regime (this is currently the subject of a government consultation) but the provision of occupational pension schemes is common along with group personal pension plans. Membership of the occupational schemes is therefore voluntary with no specific rules regarding mandatory or minimum member contributions.

Occupational plans are generally established under irrevocable trust and are mainly defined contribution arrangements.

Why Choose Sovereign?

Local Expertise Matters

When it comes to managing workplace pension schemes, local knowledge and a deep understanding of Island life is vital. Our Isle of Man retirement experts understand the specific challenges you face.

Simplicity

We understand that you are busy running a business and, as a partner, we pride ourselves on keeping things simple. Whether you’re looking to upgrade an existing occupational pension scheme or starting a new scheme from scratch, our experienced team will assist you to select a scheme that meets your requirements and matches the size of your operations. We will then deliver that scheme as swiftly and efficiently as possible.

Affordable

Our occupational pension schemes can be tailored to your budget. Providing employees with better benefits generally assists in employee retention and saves on the costs of replacing an employee. Our aim is to minimise the cost and the administrative burden, while helping you to recruit and retain good people.

Easy to administer

Our on-line control centre puts you in instant control of all aspects of your plan and provides members with a clear and concise overview and the freedom to engage directly with their account within a secure environment. This will ensure that they appreciate their pensions and give them confidence in the future.

Scalability

Our occupational pension schemes can easily expand as your business grows. We have developed a model that complies with local regulation and is scalable and affordable for employers and their employees with minimum cost and disruption.

Security

Sovereign offers trust-based occupational pension scheme solutions in which the assets of the scheme are held in trust for the beneficiaries (the employees). This ensures the legal separation of the plan’s assets from those of the sponsoring employer, which provides an additional layer of comfort to employees and protects the plan from any party seeking to lay claim to the assets of the business.

Investment

Investments options are at the heart of all good savings solutions. We provide a range of funds from leading fund houses across different risk appetites. This is in addition to placing sustainability at the heart of our investment ethos – allowing employees to balance growth and ethics simultaneously.

Employee engagement

We cannot expect everyone to be a financial expert. Our ‘Knowledge Hub’ empowers your staff to get to grips with this complex subject and to understand their rights and responsibilities.

Account management

Setting up a workplace pension scheme is not just about pensions. It also involves business planning, the creation and integration of new processes, and the engagement of both the employee and employer. Sovereign has established itself as a market leader in pensions’ provision through substantial investment in our staff, systems and infrastructure. As a local provider, we will always be on hand to assist you and your employees in person.

Pan-island option

Sovereign can provide a pan-island service to employers with offices in the Crown Dependencies of Guernsey, Jersey and the Isle of Man within one trust. We can also provide approved pension services in Gibraltar and international retirement and savings options around the world. This allows you to minimise the providers you deal with and gain efficiencies and economies of scale.

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