Trusts for particular purposes: employment-related trusts - types
Employers can set up schemes for the benefit of their employees. Companies set up most employee benefit trusts. However it is possible for a non-company employer to have an employee benefit trust.
These schemes are most often funded through a trust. There are several types. The main ones are:
- general employee benefit trusts
- retirement benefits scheme trusts
- employee share scheme (approved and unapproved) trusts
TSEM5025 will help you identify general employee benefit trusts.
Retirement benefits schemes can usually be identified by the use of the ‘retirement’ in the title.
Share schemes can usually be identified by the inclusion of ‘share’ or ‘sharing’ in the title. Sometimes ‘stock’ or ‘equity’ is used instead of ‘share’. Or the title may include something like ‘incentive plan’.
- general employee benefit trusts is at TSEM5050-TSEM5175
- retirement benefits scheme trusts is at TSEM5200-TSEM5380
- share scheme trusts is at TSEM5400-TSEM5550.
For trusts not falling into these 3 categories, see TSEM5575