AA Group Personal Pension Plan (AA GPPP)
The AA Group Personal Pension Plan (AA GPPP) is a Defined Contribution (money purchase) pension arrangement and is designed to meet the legal obligations as set out in legislation for ‘Auto-Enrolment’. More information about Auto-Enrolment can be found by clicking on the Auto-Enrolment tab on the left. The employee contribution rate payable prior to 6 April 2018 was 1.0% of gross taxable earnings and the Company also added a further contribution of 1.0% of gross taxable earnings.
The auto-enrolment legislation set minimum employer and total minimum contribution levels. It also increases these minimum levels of contribution with effect from 6 April 2018 and again from 6 April 2019.
response to these increases in the minimum contribution levels
required under legislation, the contribution rates to the AA GPPP
will be as follows:
|Employee Contribution||Company Contribution|
|From 6 April 2018||3%||2%|
|From 6 April 2019||5%||3%|
Benefits of the AA GPPP include:
- Retirement income that can be taken at any time between the ages of 55 and 75 (subject to current legislation). Note: The amount of your eventual retirement income is not guaranteed and depends on the value of your pension fund at retirement and how you choose to use your fund at that time.
- A wide choice of funds available to invest in with the freedom to switch between them.
- Return of fund on death.
Further details can be found by clicking here.
Please note that the AA GPPP is a totally separate pension arrangement and does not form part of the AA Pension Scheme. Also, the Company will not make contributions to more than one scheme at a time.