What is a Master Trust Pension?

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1 What is a Master Trust Pension? Our solution does not provide financial advice and we would recommend that you seek advice from a professional adviser if you have queries regarding a pension scheme. If you are using the Simply Enrolment service through your adviser please contact them. This information does not constitute financial, investment or professional advice and should not be relied on as such.

2 SIMPLY ENROLMENT WILL HELP YOU TO UNDERSTAND, IMPLEMENT AND MANAGE AUTO ENROLMENT ON AN ON-GOING BASIS.

3 INTRODUCTION - WHAT IS A MASTER TRUST PENSION? A Master Trust is an occupational pension scheme that allows non-associated employers to join and form part of a large group. It is designed to be very simple, give economies of scale and the only employer requirements are to adhere to the Trust, and of course pay the contributions. The Master Trust provider undertakes all of the administration, the Trustee services and the investment services. The mechanics are that a sub trust is set up specifically for each participating employer, which will normally bear the company name. It also establishes the scheme and allows the respective groups of employees to join and pay regular monthly contributions alongside their employer. Employers sign a single application, known as a deed of adherence, in which they agree to be bound by the rules of the scheme and provide accurate staff data. After that, the administrator takes over and sets up the scheme records. It is for these reasons that more employers are turning to a specialist Qualifying Workplace Pension Supplier provider who will accept contributions of any size. *Please note that Simply Enrolment are not qualified to offer financial advice and therefore cannot make recommendations as to the provision of a corporate pension scheme. In this instance we are making an introduction to an approved Qualifying Workplace Pension.

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6 WHY USE A MASTER TRUST PENSION? The essence of a Master Trust is to reduce employer administration (and therefore cost) and to provide members with easy access to information to help them save for their retirement. Many companies that have taken it upon themselves to find a suitable pension scheme frequently have difficulty in finding a traditional provider who can help. Low contributions and high staff turnover often make schemes unattractive and nonprofitable to these providers. In addition, Corpad will provide a certificate to employers NOW confirming that they will accept the Qualifying Workplace Pension Scheme regardless of the level of contributions or how many workers will join, irrespective of how far they are away from staging date. This gives companies peace of mind to know that everything will be in place and on time to ensure compliance. It will also reduce future higher consultancy fees that will no doubt apply as thousands of companies will all be striving to achieve the same thing at the same time. WHO ARE CORPAD? Corpad were established as an independent business eight years ago having been part of a larger organisation before then. Turnover and client base has increased year on year since then and now Corpad provides pension administration services to many thousands of members. The company are ideally equipped to provide a full-featured Master Trust pension scheme, the Corpad Trust, which is a direct alternative to NEST providing flexibility and choices for employees. Corpad guarantees the availability of the trust as an alternative to conventional pension providers, who are increasingly turning prospective business away. There is access to a wide range of provider pension funds at a competitive Annual Management Charge. In providing a Master Trust it is important to highlight that the administration processes are approved under the Quality standard ISO9001 and that, for pension payroll, Corpad are an approved BACS bureau. Corpad Trust will accept regular premiums from both employers and employees and can provide a range of pension investment funds to choose from. As a Master Trust, the Corpad Trust takes advantage of Occupational Pension Schemes rules and can therefore allow easy access for new members.

7 Investment Managers Online access Switching Administrator Kaimes Capital (formerly Aegon Asset Management) Yes Option to move to Cash 2 years prior to NRD Corpad Limited Administrator Established 6 March 2007 Pension Contribution frequency Weekly or monthly TRUSTEESHIP There are 3 individual Trustees (not employees of Corpad) from Legal and HR backgrounds with extensive knowledge and experience of working with occupational pension schemes NEST 1.8% contribution charge. Only 98.2% of contributions are invested CORPAD TRUST No contribution charge. 100% of contributions are invested Annual Management Charge (AMC) of 0.3% Annual Management Charge (AMC) of 0.4% FUND CHOICE Fund selection available covering low to moderate risk Wide range of investment funds available including active, passive & lifestyle funds. TRANSFERS IN AND OUT Not allowed under current rules Allowed with no penalty on transfer out ADMINISTRATION AND SUPPORT Policy and fund administration outsourced May require changes to employers current systems and processes Administered by Corpad May require changes to employers current systems and processes CORPAD LIMITS Restricted contribution level (current maximum 4,500 per year) No restriction on contribution levels. Overall annual allowance is 40,000* per tax year. SPECIALIST EXPERIENCE New Scheme New scheme but with over 10 years pension scheme administration experience

8 WHAT IS A MASTER TRUST PENSION? SIMPLY ENROLMENT CORPAD CAN BE CONTACTED ON INFO@CORPAD.CO.UK

9 Our solution does not provide financial advice and we would recommend that you seek advice from a professional adviser if you have queries regarding a pension scheme. If you are using the Simply Enrolment service through your adviser please contact them. This information does not constitute financial, investment or professional advice and should not be relied on as such.