What is the difference between a SIPP and a SSAS?

What is the difference between a SIPP and a SSAS?

When looking for pension schemes that help you to plan efficiently for retirement, two types often come to the would-be investor’s attention: SSAS’ and SIPPs. So, what is the difference between a SSAS and a SIPP?

In basic terms, they are both regulated pension schemes. This means HM Revenue and Customs (HMRC) underlying rules on things such as investing, borrowing are the same.

Despite this overlap in the basic rules, they are still distinct in that the way the legislation is applied to both types of schemes.

Here we look at the differences between the two schemes and what they are set up to achieve.




What is a SSAS Pension?

Let’s start with the basics, what does SSAS mean? SSAS stands for Small Self-Administered Scheme. It’s a small occupational pension scheme and members are typically employees or directors of a sponsoring employer, offering significant control over contributions and investments.

Who is it for?

As mentioned above, a SSAS is typically for small business owners and their employees/directors. Members have a share of the SSAS funds, this can include assets such as commercial property and all members have to unanimously agree on the investments for the SSAS.

What is a SIPP?

A self-invested personal pension (SIPP) is a type of personal pension plan offering greater flexibility and control over how your money is invested.

With standard personal pensions investments are normally managed in a pooled fund chosen by you. A SIPP is designed differs in that they are designed for people who want to manage their fund themselves, switching investments when they want to.

Different SIPP providers give access to different types of investment options. Here at iSIPP we have several fund options managed by world-leading fund houses BlackRock or Schroders, tailor-made to suit your needs, circumstances, values, and appetite for risk.

You can delve deeper into the funds available by visiting the Fund Choice page on our website, however, below is a brief overview of what we offer.




Our SIPP Funds

Ready Made Funds

These funds are provided by global fund house BlackRock and are designed to take the hard work out of investing. They make it simple and cost-effective, whilst also managing risk.

ESG Fund

This fund lets you invest in line with your values and beliefs. Environmental, social and governance are the three broad categories of criteria that can play a role in deciding what an ESG fund invests in.

Shariah Fund

This fund is governed by the requirements of Shariah law and ensures that the underlying businesses in which it invests adhere to Islamic-based investment restrictions.


To conclude, a SSAS and a SIPP are both tax-efficient ways to save for your retirement and are subject to the same basic legislation.

However, whilst a SSAS is a type of occupational scheme with several members, a SIPP offers flexibility to individual investors looking to take control of their own fund. iSIPP offers a choice of funds that give you greater control over your financial future.




The content of this article is for general information purposes only and should not be construed as legal, financial or taxation advice. You should not rely on the information contained in this article as legal, financial or taxation advice. The content of this article is based on information currently available to us, and the current laws in force in the UK. The content does not take account of individual circumstances and may not reflect recent changes in the law since the date it was created. It is essential that detailed financial and tax advice should be sought in both jurisdictions and any legal advice, if required.

This notice cannot disclose all the risks associated with the products we make available to you. When making your own investment decisions it is important you understand that all investments can fall as well as rise in value and it is possible you may get back less than what you have paid in. You should also be satisfied that any investments you choose are suitable for you in the light of your circumstances and financial position. You should seek financial advice if you are not sure of what’s best for your situation.


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