SSAS Query.

T

Taco6030

Registered User
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Can anyone help with the following......with an SSAS pension fund (one rental property with no mortgage +cash amount)-how is the 25% cash lump sum ,allowable at retirement ,calculated?Is the value of the property included in the calculation? Also, where can I find info on the rules attached to selling an SSAS investment property? I can find lots of info about buying but not selling. Thanks.
 
Simple answer is Yes. The lump sum is 25% of the total value of the fund. That may require you to sell the property at retirement if you want the max lump sum. Effectively the fund may require to be fully liquid - so selling the property- before you can draw down the benefits. It all depends on the value of the property and the cash holding.
 
The sale of the property in an SSAS is the exact same as the normal sale of a property. The pensioneer trustee must sign off on it to ensure it's an arms length sale ie you're not selling the property to yourself or family.

There is no problem in transferring a mortgage free property into your ARF if you wish.


Steven
www.bluewaterfp.ie
 
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