This step-by-step summary covers how to set up a new Collective Retirement Account (CRA) with an investor lump sum and a regular employer contribution. Please note it is possible to have only one employer regular contribution set up on a client record. However, there are options available to facilitate multiple employer payments, so please contact us if that is a requirement.
What you’ll need to get started
- Client details including bank details.
- Details of the client lump sum including payment method.
- Investment details.
- Details of the client’s employer.
- Details of the regular employer contribution.
Please note that regular investments from investor, employer or third parties must be made from separate bank accounts.
Instruct an investor lump sum and employer regular contribution
① From the homepage, search for the relevant client.
② Click on the ‘New Business’ quick link button and select ‘New Business application’.
③ Select ‘Collective Retirement Account (CRA)’ as the product, assign an adviser to the account, and answer the financial advice questions to confirm you can proceed with the application.
④ Enter the required client details. Information entered when initially setting up the client will have pulled through to the application.
⑤ Confirm the client’s tax residency details and nationality status.
⑥ Enter the client’s retirement age and answer the ‘Retirement assumption’ questions.
⑦ This how-to guide covers a single payment from the client and an employer regular payment.
- Single payments made by the client will be grossed-up upon receipt. The total value of the payment including tax relief will be shown.
⑧ For the single payment click on the ‘Client single payment box’. Enter the contribution details and select the ‘Payment type’ as either cheque of bank transfer.
- You can choose whether you want to apply the phased investment option to the single payment.
⑨ For the employer regular payment, select ‘Employer regular payment’ and complete the relevant details for the client’s employer.
- Enter the contribution details, including the contribution, payment date and frequency.
- The payment date can be from the 1st to the 28th of each month.
⑩ On the next step select and enter your asset allocation for the single payment and employer regular contributions.
- You can select any combination of model portfolios, funds, exchange traded investments and cash.
- If you have access to discretionary investment management models, these will be available to select.
⑪ Use the search facility to locate the relevant asset. The ‘Advanced Search’ option allows you to search using additional criteria.
⑫ Once you’ve entered the asset allocation, a risk score between 1 and 10 will be generated.
- Select what will happen to any distributions received from the assets.
⑬ The next step gives you the opportunity to review the information you have entered. Use the ‘Edit’ options next to the relevant section to return and make any changes if required.
⑭ In the next step the documentation which you must send to us will be generated.
- You can download these documents straight away or re-access them later from the client’s account dashboard.
⑮ On the final step read through and tick the adviser declarations and click ‘Submit application’. The green banner at the top of the screen confirms that your application has been submitted.
- Documents required to be sent to us will be shown. These will need to be signed by your client and posted to us.
- In addition, supporting documents which you can keep for your own reference will also be available.
Troubleshooting tips on money in
The following are some tips to ensure your customer’s payments can be allocated to their account quickly and efficiently:
- Where a customer is contributing to their spouse’s account this should be keyed as a third party contribution. All the normal anti-money laundering checks will then be undertaken.
- Ensure the narrative accompanying the payment is clear and concise and where possible include the sub account number and full name (or Date of Birth if this is a new business application and sub-account isn’t known).
- Where possible reduce the number of payments for one application
How to set up a new collective retirement account (CRA) with an investor lump sum and a regular employer contribution video