International Multi-Employer Savings Plan

Global mobility is on the increase, and as a result companies face the challenge of providing long-term savings for their expatriates and mobile employees. While many employers recognise the benefits of an international pension plan, the set-up cost is often seen as prohibitive for small numbers of employees. The International Multi-Employer Savings Plan (IMSP) solves this problem.

• The IMSP is an Isle of Man based savings plan that is set up as a master trust arrangement, and which allows multiple sponsoring employers to be included.
• An employer can add employees to the plan, who are then segregated from other employers and plan members.
• The plan provides access to multi-currency options, institutionally priced funds, professional trustee services and support, and online administration.
• Plan members each have their own Retirement Account, which they retain regardless of their location.
• A range of leaving service options are available to plan members.
• Although there is no tax payable within the plan, when plan members receive a lump sum or regular payment at end of service or retirement, they may be subject to tax on these payments in their host country.

When it comes to leaving employment and retirement, an international retirement savings plan’s flexibility generally stops, with a significant number of employers requiring members to take their accrued benefits as a lump sum as soon as they leave employment, regardless of whether it is right for them. The International Deferred Benefit Plan addresses this issue by allowing them to transfer their benefits into a new plan where they can:

• Continue to benefit from any investment growth, through a range of low-cost risk rated investment funds
• Benefit from competitively priced, transparent product charges
• Use a regular withdraw facility to provide an income until such time as they wish to withdraw their full lump sum, penalty free
• Manage their investments on-line, with access 24/7