John and his wife Jean run a company.
They have 2 sons, Tom and Tim.
They want to plan for their retirement and when Tim and Tom will take over the business.
John and Jean decide to sell their business premises to their SSAS.
They pay rent from their business, to the SSAS, for use of the premises. The rent they pay is an allowed business expense and so afforded tax benefits. Income received by the SSAS is free from income tax and so the SSAS grows.
Due to having to pay rent, the company reduces profit, so also reduces the year end tax bill.
All of the funds and the assets still belong to the business and/or the SSAS, so all remain within the family. Payments being made from one family asset, the business, grow another family asset, the Family SSAS.
Tim and Tom are invited to join the SSAS. This means that should John or Jean die, as beneficiaries they will take ownership of John and Jean’s share of the SSAS, avoiding inheritance tax and legal costs and fees.