Silver Thatch Pensions Services

The normal retirement date is the first of the month on or after your 60th birthday. However, you can retire earlier. You can retire on the first of any month on or after your 50th birthday. It is also possible to retire after your normal retirement date.

If you want to retire early

In order to receive early retirement benefits you must be over the age of 50 and no longer working. You should notify Saxon Pension Services (Saxon Pension Services are Silver Thatch Pensions client services agent) and also notify your employer as soon as you choose a retirement date. You will be sent an Early Retirement Form. This form should be completed and returned to Saxon Pension Services at least 30 days before your planned retirement date. This form will be used to select your benefit option.

Source Link : https://silverthatch.org.ky/member-services/cayman-islands-retirement/

When you retire, you will have three options for receiving your retirement benefits: an annuity, a retirement income fund or a retirement savings arrangement (RSA).

1. Annuity. If you choose the Annuity option, all of your Silver Thatch Pensions investment will be cashed in and the money used to buy an annuity. There are different types of annuities available, but in all cases an annuity guarantees you a fixed income for a period of time.
2. Retirement Income Fund (RIF). If you choose the Retirement Income Fund option, a portion of your Silver Thatch Pensions investment will be cashed in at retirement and paid to you. Amounts will also be cashed in and paid to you on a regular basis during your retirement. The Retirement Income Fund option will not be available to you at retirement if the value of your Silver Thatch Pensions investment is less than US$100,000.
3. Retirement Savings Arrangement (RSA) The National Pensions Law was implemented in 1997 and the RSA (Retirement Savings Arrangement) is a payment plan which is in use until the system reaches maturity. RSAs are used so that members who have retired (minimum age 50 years) and wish to access their retirement funds can do so, without having to purchase an annuity or have the uncertainty of income created by a RIF (Retirement Income Fund).

Source Link : https://silverthatch.org.ky/member-services/your-retirement-benefit-options/

The Silver Thatch Pensions Plan is a two-part Defined Contribution (DC) retirement savings program that includes:

• mandatory contributions as prescribed by law
• a flexible savings arrangement for Additional Voluntary Contributions (AVCs)

Under the mandatory aspect of the pension plan, employees and their employer make contributions based on the employees’ earnings. These are referred to as basic contributions. Basic contributions are automatically invested in one or two of three available investment portfolios – conservative, balanced and growth – based on the employee’s personal profile (i.e., age, income range and marital status). Funds are shifted automatically if there is a significant change in an employee’s personal profile. At retirement, the money accumulated in an employee’s pension account – including investment earnings – is used to provide a retirement income.

Source Link : https://silverthatch.org.ky/employer-services/how-silver-thatch-pension-plan-works/

From the 1st June 1998, every person aged 18 to 60 years who is a member of a defined contribution pension plan must contribute to that plan. This is a requirement of the National Pensions Law (2000 Revision) and by subsequent regulation (the Pensions Law).

The contributions are related to total earnings, which include salaries, wages, leave pay, fees, commissions or gratuities, as well as bonus payments that exceed 20% of basic pay. There is an upper limit to earnings specified under the Pensions Law for this purpose; this limit or cap is CI$60,000.

Under the National Pensions Law the Administrator of the pension plan must notify the Superintendent of Pensions in writing of any arrears of contributions within 45 days of becoming aware of the arrears.

Source Link : https://silverthatch.org.ky/member-services/your-rights-under-national-pension-law-cayman-islands/

You and your employer are required to contribute an amount that, when combined, equals 10% of your “earnings” (up to the annual maximum pensionable earnings of CI$87,000 a year). Your employer’s share must equal at least 5% of your earnings. If your employer contributes more than 5%, your share of the total 10% contribution will be reduced accordingly.

These contributions – referred to as your basic contributions – are deposited in a member account set up in your name. Your employer should make the contributions on your behalf once each month.

Source link : https://silverthatch.org.ky/member-services/your-contributions/

Employees will be eligible to join the Silver Thatch Pensions Plan on the first day of their employment with you, provided they:

• are at least age 18,
• are under age 65, and
• have Caymanian or permanent residency status.

Employees who meet the age requirements but who do not have Caymanian or permanent residency status – principally expatriates – will be eligible to join the Silver Thatch Pensions Plan once they’ve worked in the Cayman Islands continuously for at least nine months.

Source link : https://silverthatch.org.ky/employer-services/joining-the-silver-thatch-pension-plan/

Why Make AVCs?
Additional Voluntary Contributions (AVCs) are an important part of Silver Thatch Pensions programme. These contributions:

• allow you to boost your account value to help ensure that you have enough saved for your retirement;
• allow you to save through the convenience of payroll deductions or lump sum deposits;
• give you the flexibility to start, stop or change the level of your contributions at any time;
• offer you control over your investments – you decide where to invest your AVCs, picking from a range of professionally managed investment portfolios;
• give you access to quality investments typically not available to investors with modest amounts of money; and
• allow you to alter the overall risk-reward position of your investments (see “Investing your AVCs“)

Source link : https://silverthatch.org.ky/employer-services/employers-contributions/additional-voluntary-contributions/

The employee decides where to invest his/her additional voluntary contributions (AVCs). He/she can pick from any of five professionally managed portfolios. These include the three “core” portfolios available for basic contributions (i.e., the growth, balanced, and conservative portfolios), as well as two others:

• an ultra-conservative income portfolio made up almost entirely of bonds, and
• an aggressive growth portfolio made up almost entirely of equities.

This range of five portfolios is designed to help employees select an asset mix that suits their individual investment needs and comfort level.

Source link : https://silverthatch.org.ky/employer-services/investment-of-contributions/investment-of-additional-voluntary-contributions/

The Silver Thatch Pensions Plan gives Caymanians and other eligible Plan members a wonderful opportunity to build retirement savings. As an employer, additionally it gives you an equally compelling opportunity to support their efforts

Learn more about:

• How the Plan works
• The Advantages of the Plan
• Your Responsibilities
• Statements

If you have any questions about the Silver Thatch Pensions Plan or its operations, or just simply wish to learn more, please feel free to contact our office via phone at 345-943-7770 or email support@silverthatch.org.ky to book an appointment.

Source link : https://silverthatch.org.ky/employer-services/

Basic Employee and Employer contributions are not legally required after the member has past their normal retirement date (currently age 60). However, an employee may elect to continue to make additional voluntary contributions (AVCs) to increase the size of their fund prior to their final retirement.

• continues to be employed by your organization; and
• completes a Late Retirement Election Form at least 30 days prior to his/her normal retirement date (i.e., the first of the month following his/her 60th birthday).

If an employee elects to continue making AVCs, contributions will be deducted until the employee revokes the election or terminates employment, whichever comes first.

To revoke an election, the employee must complete the Revocation of Late Retirement Election Form. The form should be completed at least 60 days before the employee wants to stop making contributions.

Source link : https://silverthatch.org.ky/employer-services/employers-contributions/contributions-after-the-normal-retirement-date/

Your pension isn’t just about you. It’s also about the financial security of those who depend on you. With that in mind, Silver Thatch Pensions include some important provisions to protect your survivors.

Death before retirement

• If you have a spouse and die before you start receiving retirement benefits, your Silver Thatch Pensions investment will be re-registered in the name of your spouse. Your spouse will be entitled to the same benefits that would have been available to you. However, they will not be able to elect a benefit option or start drawing a retirement income until they are eligible to retire.

• If you do not have a spouse and die before you start receiving retirement benefits, your Silver Thatch Pensions investment can be cashed in by your personal or estate representative. The representative must complete a Request for Payment by Personal Representative Form, available from Saxon Pension Services, the Plan’s client services agent.

Death after retirement

If you die after retirement and have a spouse, he or she will be entitled to certain benefits immediately. These benefits will depend on the benefit option you selected at retirement.

• If you chose an annuity, that annuity will provide a lifetime benefit to your spouse after your death.
• If you chose a retirement income fund or Retirement Savings Arrangement (RSA), your Silver Thatch Pensions investment will be re-registered in your spouse’s name and your spouse will continue to receive the benefits that would have been paid to you.

Source link : https://silverthatch.org.ky/member-services/your-retirement-benefit-options/survivor-benefits/

The employee decides where to invest his/her additional voluntary contributions (AVCs). He/she can pick from any of five professionally managed portfolios. These include the three “core” portfolios available for basic contributions (i.e., the growth, balanced, and conservative portfolios), as well as two others:

• an ultra-conservative income portfolio made up almost entirely of bonds, and
• an aggressive growth portfolio made up almost entirely of equities.

This range of five portfolios is designed to help employees select an asset mix that suits their individual investment needs and comfort level.

The employee can invest AVCs in more than one portfolio. He/she can also reallocate those AVCs at any time. Among the factors an employee should consider when investing AVCs are:

personal investment objectives,
comfort with investment risk,
time until retirement, and
personal financial position.

For details on how an employee can change the amount of AVCs he/she contributes, or where those AVCs are invested, see “Starting, stopping and reallocating AVCs“.

Source link : https://silverthatch.org.ky/employer-services/investment-of-contributions/investment-of-additional-voluntary-contributions/

We know our members work hard for their money, which is why we work hard for them. Since 1997, we have been helping employers meet with pension obligations. Today, we are one of the largest pension plans in the Cayman Islands. At Silver Thatch, we are singularly focused on growing our members’ investments in ways that maximize their returns while minimizing their risk.

Employees will be eligible to join the Silver Thatch Pensions Plan on the first day of their employment with you, provided they:

• are at least age 18,
• are under age 65, and
• have Caymanian or permanent residency status.

Employees who meet the age requirements but who do not have Caymanian or permanent residency status – principally expatriates – will be eligible to join the Silver Thatch Pensions Plan once they’ve worked in the Cayman Islands continuously for at least nine months.

Providing new employees with pension information
As soon as an employee meets the eligibility requirements, you must provide him/her with the Silver Thatch Pensions:

• Member handbook, Investing for Life;
• Smart Investor Guide;
• Member Enrollment Form; and
• Additional Voluntary Contribution Form.

Source link : https://silverthatch.org.ky/employer-services/joining-the-silver-thatch-pension-plan/

An employee’s basic contributions are invested automatically in one (sometimes two) of three investment portfolios.

These include:

1. Growth portfolio which has a strategic allocation of 70% equities, 9% alternative Investments, 18% bonds and 3% cash.
2. Balanced portfolio which has a strategic allocation of 45% equities, 11% alternative investments, 41% bonds and 3% cash.
3. Conservative portfolio which has a strategic allocation of 65% bonds, 19% equities, 13% alternative investments and 3% cash.

In which portfolio(s) an employee’s contributions and pension account are invested will depend on his/her personal risk profile. Specifically, it will depend on three key factors: the employee’s age, income range and marital status.

• Younger employees have a longer time horizon to invest and more time to make up any short-term drop in their investments – so they can tolerate more risk.
• Employees nearing retirement have fewer years left to save for retirement and less time to recoup any losses – so a more conservative investment strategy makes sense.
• Employees who earn more save more (because pension contributions are based on income). As a result, they are in a better position to withstand a short-term drop in investments.
• The pension assets of married employees need to be invested on a slightly more conservative basis because two people may have to depend on that pension in retirement.

Source Link: https://silverthatch.org.ky/employer-services/investment-of-contributions/investment-of-basic-contributions/

In order for us to administer your Silver Thatch Pensions Plan effectively, you need to make sure your personal information is kept up to date.

Communication is key and how you communicate with us is your choice. You can either update your personal information yourself by accessing the member portal or by simply emailing a Silver Thatch Agent at support@silverthatch.org.ky if:

• There is a change in your name, address etc
• Your spouse dies
• You plan to retire before your normal retirement date

If you are notifying Silver Thatch Pensions of a marriage, please provide your marriage certificate to the customer service agents. In the case of a divorce, please provide the court order of dissolution and the details of any maintenance or financial orders.

Source link: https://silverthatch.org.ky/member-services/updating-personal-information/

You have considerable control over your Additional Voluntary Contributions (AVCs). You can:

• start making AVCs via payroll deduction at any time,
• stop making AVCs via payroll deduction at any time,
• change the amount of AVCs made via payroll deduction,
• change how AVCs are being invested,
• reallocate existing AVC investments, and
• arrange to make a lump-sum contribution.

To start or stop AVCs, reallocate AVCs, or make a lump-sum contribution, you must complete an Additional Voluntary Contribution Form.

If you wish to start, stop or change the amount of AVCs made via payroll deduction, you must submit the completed form to your employer. Your employer should adjust the payroll deductions accordingly and forward the form to the client services agent.

Source link: https://silverthatch.org.ky/member-services/your-contributions/starting-stopping-and-reallocating-your-avcs/

You decide where to invest your Additional Voluntary Contributions (AVCs). You can pick from any of five professionally managed portfolios. These include the three “core” portfolios available for basic contributions (i.e., the growth, balanced, and conservative portfolios), as well as two others:

• an ultra-conservative income portfolio made up of 100% fixed income.
• an aggressive growth portfolio made up almost entirely of equities.

This range of investment options is designed to help you select an asset mix that suits your investment objectives and comfort level. You can invest your AVCs in more than one portfolio. You can also reallocate your AVCs between portfolios. Among the factors to consider when investing your AVCs are:

• your investment objectives,
• your comfort with investment risk,
• how long you have until retirement, and
• your overall financial position.

For details on investing your AVCs, refer to the Smart Investor Guide. It is also available from your employer and Saxon Pension Services, Silver Thatch Pensions’ client services agent.

Source link: https://silverthatch.org.ky/member-services/your-contributions/investing-your-avcs/

Contributions – Basic, AVCs and Additional 1% – must be remitted by the employer on a monthly basis. It is up to you to:

• calculate employer and employee contributions,
• deduct employee contributions from pay, and
• complete the Contributions Input Form.

Contributions Input Form
The Contributions Input Form is used to report the details related to basic, additional voluntary and additional 1% contributions. Contribution details should be listed separately for each employee.

The employer must send the completed Contributions Input Form to the client services agent, along with a cheque covering contributions for the period covered by the form. Cheques should be made payable to: “Silver Thatch Pensions.”

Currency
Contributions can be paid in either Cayman Islands or U.S. dollars. Contributions received in Cayman Islands dollars will be converted to U.S. dollars at the rate of $0 .835. There are no foreign exchange fees or commissions charged for this service.

Contributions Deadline
Contributions should be remitted to Silver Thatch Pensions no later than the 15th of the month following the end of the pay period. This includes both the contributions deducted from and/or made on behalf of the employee.

If you are unable to make contributions, for any reason, by the contribution date, you must notify the client services agent as soon as possible. Failure to remit contributions on time will result in penalties under the National Pensions Law.

Remitting contributions for new employees
When remitting contributions for a new employee, be sure to list the new employee on the Contributions Input Form. If you have not already submitted the Member Enrollment Form and received the new employee’s member number, please ensure that the enrollment form is sent with the Contributions Input Form.

Unfortunately, contributions for new employees that are remitted without a completed Member Enrollment Form cannot be processed and will be returned to the employer.

Source link: https://silverthatch.org.ky/employer-services/employers-contributions/remitting-contributions/