The Superannuation Scheme aims to provide retirement benefit in terms of pension to the employees after their retirement i.e. on attaining the age of 60.
The key to employee retention is in your hands. In today’s time when the prospect of out-living retirement savings is larger than ever, your employees might not take the time to plan their long-term financial goals or have the discipline to systematically save for their retirement years. As an employer, you can help your employees in their retirement planning and, in turn, increase employee retention.
Need for Superannuation
- Better Returns
Under Group Superannuation scheme, the funds are invested scientifically and in a well-researched mix of equity and debt. Since your fund is invested wisely, you are likely to get better investment returns. This will ultimately contribute to your employee’s long term financial goal or savings for their retirement years.
- Annuity Option
Various types of high quality annuity options are available in group superannuation plan. You can offer pension plan to your employees to take care of their life after retirement. Group Superannuation plans allow multiple payout options like yearly, half yearly, monthly, or quarterly. It is also possible to buy annuities that return the premium to nominees when you die or where the amounts are guaranteed for as long as you live or even options that allow an increase in annuity benefit each year to keep pace with inflation.
- Nominal Cost
Extend the advantage of superannuation scheme to employees at a nominal cost. Give your employees a sizable corpus without bearing significant expense yourself. The primary benefit is that a superannuation scheme encourages your employees to save each month. This discipline results in large retirement savings something that your employees will be grateful for.
- Tax benefit
Investment in this insurance is tax efficient. The employer’s contribution is treated as a business expense which reduces your tax incidence. Employees also benefit because the fund is not treated as a perquisite for the employee, which is tax efficient. Moreover, the contribution by the employee towards this policy is eligible for deduction under section 80C. Also, the benefits payable on death and the amount accumulated on maturity are exempt from tax.
Benefits to employer
- The annual contribution under superannuation scheme benefit, is seen as a business expense
- A superannuation scheme helps in retaining valuable employees
- Group superannuation scheme can play a big role in attracting talented resources to the company
Benefits to employee
- A fixed source of Income (post-retirement)
- In most cases the income remains fixed & is not influenced by market risks
- An efficient tax saving plan
- Multiple annuity options
At Emedlife, we offer both defined benefit scheme and defined contribution scheme. Irrespective of what you choose, our team offers you the best superannuation products to choose from. We also work towards making the claims process quick and simpler for you.
Talk to us today for securing your financial future at an affordable price and for reliable claims management.
For registration of claims and to learn more about our claims process please contact our dedicated claims team for advice on an incident/claim.
D&O Policy protect company director or officer from legal liability arising out of actual or alleged wrongful acts in managing a company.
- The policy covers a wide range of litigation that could arise from customers, vendors, shareholders, employees.
- In addition to defence cost, it provides cover for :
- Investigation Cost
- Entity Protection against Employment Practice Liability claims
- Outside Entity Directorship cover,etc.