Set up fees
There is a set up fee to cover due dilligence requirements and onboarding.
The employer has the option to pay a fixed annual administration fee and trustee fee to reduce costs for the employees.
The administration fee can either be paid by the employer (paid 6 monthly in advance), or deducted monthly from the contributions prior to investment into the member's plan.
The fund based charges are paid by the employee.
This represents the cost of managing the underlying investment funds held in the members plan, expressed as the Total Expense Ratio (TER). It varies from fund to fund.
The TER, together with the Trustee Fee (if applicable), represents the Total Annual Charge for managing the investment of the pension funds and maintaining the members Plan. The Annual Charges are calculated proportionally each month and deducted by the sale of units.
Full details of all charges are confirmed in writing in advance of a pension scheme set up.