Duncan & Brandon sign
Collective Pension Plan
PHILIPSBURG--Henderson Insurances and Duncan & Brandon Law Offices signed a Collective Pension Plan on Monday, February 12, which now enables the participants to build up as much as 70 per cent of their last earned salary when they reach the age of retirement.
The payments (annuities) will be due to each participant from the date of retirement for the rest of their natural life and will be paid anywhere in the world the participant chooses to retire.
Both parties had been negotiating this agreement for some months now and Henderson was charged with selecting a reputable insurer to tailor the policy.
While not legally compelled, the law firm has taken a very caring decision towards the future wellbeing of its employees which Henderson Insurances believes can only contribute to a strong social fabric.
Towards this end, the Federal government, by way of existing tax laws, made it possible for both employer and employee to have tax breaks as an incentive to stimulate such initiatives. One of the key demands in the law is that such a plan must have the element of employer/employee contribution and that the employer must contribute at least 50 per cent of the total premium.
The main reason for the employer/employees contribution is to ensure that all funds entering such a plan is properly accounted for and can be traced by the Tax Department by way of a payroll system.
