Are you an international employer with employees spread across the globe?
Employers who offer International Group Pension solutions often have a recruitment and employee retention advantage, as these plans enable globally mobile employees to remain in the same pension scheme even if they work in several countries throughout their career with the company. It makes their retirement easier to plan, manage and understand, and its often more tax-efficient.
When should you consider an International Group Pension?
Caring companies often seek an international pension solution when the headcount of globally mobile employees increases. Enrolling an employee into a local pension plan may cause financial disadvantages to the employee, as the local plan might provide lesser benefits than their previous, home country plan.
When that happens companies like to offer an International Pension solution as an added employee benefit and hope it also helps their employee retention. International Group Pensions are an ideal solution for those who wish to complement employee benefits where domestic plans are insufficient, or for use as part of a total rewards package for expatriate employees.
Employees themselves can also seek to supplement their retirement fund, and enroll in an international pension, even if it is not administered by their employer. This allows them to benefit from lower transaction costs, and in some places, benefit from tax reliefs.