pensions Self-Invested Personal Pension Only available from your Financial Advisor Product providers for financial advisors

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1 pensions Product providers f financial adviss Self-Invested Personal Pension Only available from your Financial Advis

2 pensions Self-Invested Personal Pension Background F the self-employed, a Self-Invested Personal Pension (SIPP) should be a consideration f the individual who wants control and choice of investments to fund f their retirement. A SIPP provides a tax-efficient environment in which earnings can be invested to provide retirement benefits f the self employed. Also, if you are an employee, but not a member of your employers pension facility, then the responsibility is yours f your retirement. A SIPP gives you the opptunity to maximise your pension funds pri to retirement by giving you control over your investments. Unlike other pension schemes you can control and choose your investments. The range of investment options are extensive and include things like: property, structured deposits, direct investment in stocks and shares etc The facility to brow within your SIPP is also available. Further infmation on this is available from your financial advis. What is it? A Self-Invested Personal Pension (SIPP) is a personal pension set up f the self employed and individuals in non pensionable employment. This is a flexible arrangement with a transparent charging structure. New Ireland Assurance Company Plc provide the pension contract and Wealth Options Trustees Limited (WOTL) administer the exempt unit trust which holds your SIPP investments on your behalf providing all ongoing services e.g. annual accounting and valuations etc. Your financial advis will be able to assist you in putting in place a suitable investment ptfolio f your SIPP. Self Employed SIPP Structure Client Contributions Transfers New Ireland Pension Policy

3 Tax-Efficient Trust A SIPP is established under a pension contract. This provides you with considerable tax advantages: your contributions qualify f tax relief (subject to limits) investments grow free from Capital Gains Tax and Income Tax* deposits grow free from DIRT Tax a tax-free cash lump sum can be taken at retirement any balance can be transferred into an Approved (Minimum) Retirement Fund *Tax treatment of overseas investments will depend on tax rules applying in the jurisdiction where the investment is made, and how the investment is structured. Warning: This product may be affected by changes in currency exchange rates. Browing to Invest Your SIPP may brow money from lenders to purchase particular assets. Your financial advis may be able to assist you in this regard. However, please note Revenue rules apply to any browings. Also, browing to invest may result in greater volatility than nmal investments. In the event the investment does not perfm as intended you may not receive back all of your iginal investment and could lose your entire capital. Investments The SIPP is a pension contract with New Ireland Assurance. New Ireland Assurance owns the units in the exempt Unit Trust Fund administered by Wealth Option Trustees Ltd (WOTL). Subject to the above, you control the investment of the funds in your SIPP. The Trustee of the Unit Trust (WOTL) must be party to all financial transactions, but takes no part in the investment decision making. This is between you and your financial advis. The Trustee (WOTL) and New Ireland Assurance will determine whether an investment is permitted under Revenue rules. FUNDING THE SIPP Contributions The maximum contribution that can be made to a SIPP in any one year is determined by Revenue rules and limits. You can benefit from tax relief on the contributions you make, up to a maximum of 40% of your earnings each year, depending on your age *. F example: Age % of Net Relevant Earnings Under 30 15% % % % % 60 over 40% * Subject to Revenue limits and conditions. It is imptant to note tax relief is not automatically guaranteed, you must apply to and satisfy the Revenue requirements. An Earnings Cap applies to pension contributions f the purposes of tax relief. The Earnings Cap, which may change ever year, is 150,000 f 2009.

4 Existing Pension Arrangements It is likely that you will have existing personal pension arrangements in the fm of insured policies with a life assurance company. These funds can be transferred into a SIPP to provide you with investment control of existing funds going fward. Charges The cost of running a SIPP is an imptant fact to everyone. Wealth Options Trustees Limited charge a one-off set-up fee and an annual administration fee. The Life Company will also charge an annual fee. Full details of the charging structure are available from your financial advis. Annual fees are payable within the contract. Death befe retirement In the event of your death befe retirement, your SIPP will be valued on the date of receipt of written notification of the death and this value will fm part of your estate and be payable to your legal personal representatives. At retirement Nmal Retirement Age You can select a retirement age f the SIPP, between ages 60 and 75 ( earlier in certain circumstances). Benefits at retirement Up to 25% of the value of your pension fund can be taken in the fm of a tax-free lump sum. You then have a choice as to how to invest the remainder of your pension fund, please see overleaf. Legislation restricts the maximum pension fund you may have on retirement. It also restricts the amount of tax-free cash you may take. These limits apply to the aggregate of all of your pension plans. These limits, which may change each year, are 5,418,085 and 1,354,521 respectively, f What should I do if I am not happy with my SIPP? Our aim is to provide you with the best possible service. If you have a complaint about your SIPP, we will try to resolve it to your satisfaction. However, if the complaint is not resolved to your satisfaction you can refer it to the Financial Services Ombudsman. Details of the service provided by the Financial Services Ombudsman may be obtained from New Ireland. The Financial Services Ombudsman may be contacted at 3rd Flo Lincoln House, Lincoln Place, Dublin 2. T:

5 Investment Options at Retirement Self Employed Guaranteed pension income of 12,700? No Yes First 63,500 Surplus over 63,500 Invest in an AMRF Buy an Annuity money. Pay Income Tax Invest in an ARF Buy an Annuity money. Pay Income Tax Tax Free Growth Tax Free Growth growth only befe 75. Pay Income Tax After 75 money as required. Pay Income Tax money as required. Pay Income Tax * * The Government has introduced an annual tax on ARF s with effect from This tax is calculated based on a 3% withdrawal from the ARF. Any withdrawals that you may take from your ARF during the year will be taken into account when calculating this annual tax. Warning: The value of your investment may go up down as well as up. Warning: Past perfmance is not a reliable guide to future perfmance. This brochure is based on our understanding of current legislation and Revenue practice as at January It should be noted that pension money invested in a unit trust is not subject to the Invest Compensation Scheme. Whilst great care has been taken in its preparation, this brochure is of a general nature and should not be relied on in relation to a specific issue without taking financial, insurance other professional advice. If any conflict arises between this brochure and the New Ireland Assurance Policy Conditions, the Policy Conditions will apply. Terms and conditions apply.

6 Product providers f financial adviss Parties Wealth Options Limited Wealth Options Limited is regulated by the Central Bank of Ireland. Wealth Options distribute a range of financial services products from leading product manufacturers exclusively to regulated financial adviss. Wealth Options do not distribute products directly to the public. Wealth Options Trustees Limited Wealth Options Trustees Limited will be responsible solely f the administration of the units of the Exempt Unit Trust into which the policies will be invested. Wealth Options Trustees Limited will not be involved in providing investment advice which is entirely between the policy holder and their advis. New Ireland Assurance plc New Ireland Assurance is regulated by the Central Bank of Ireland and is a member of the Bank of Ireland Group. New Ireland Assurance is one of Ireland s leading pension providers, providing f the future of hundreds of thousands of customers with easy-t0- understand life assurance, pension, savings and investments products. As part of the Bank of Ireland Group, New Ireland is backed by considerable financial strength, resources and expertise, enabling the ganisation to offer products distinguished by reliability, flexibility and most imptantly, quality of service. Any queries to New Ireland can be made as follows: By writing to: New Ireland Assurance Company plc., Dawson Street, Dublin 2. By phone at: By fax at: By to: info@newireland.ie Address: Elm House, Millennium Park, Naas, Co. Kildare Tel: Fax: Website: info@wealthoptions.ie Registered in Ireland No: