Pensions

Happy Pensioners

Pension planning is one of the most important investments a person can make. If you do not make adequate pension arrangements you will have no option but to rely solely on the state social welfare pension, the benefit before tax is currently €230 per week. As professional financial advisors we are best placed to tailor make a pension recommendation that would most suit your needs.

When should I start my pension?

The earlier you start saving for retirement the better. This will give you more time to make contributions and more time for your fund to grow in value. Of course you have to balance this with other financial needs, such as buying a home, providing for your children's future etc.

If you don't start a pension fund until your 40s, you will have less time to build up your fund. So you will have to pay much higher monthly contributions to give you the same pension you would have had if you started saving in your 20s or 30s.

If you are older when starting a pension, don’t let this put you off, as it is better to have a smaller fund than no fund at all.

What Options are available?

If self employed or an employee in a job that does not provide you with a pension then the PRSA pension is more than likely your best option.

Personal Retirement Savings Accounts (PRSA)

Personal Retirement Savings Accounts (PRSA) are long-term personal retirement accounts designed to enable you to save for retirement in a flexible manner. (This is especially important for people with no pension provision). Your PRSA is a contract between you and a PRSA provider in the form of an investment account. PRSAs allow you to change employment and continue to use the same PRSA. You can also increase and decrease your pension contributions at any stage without penalty.

Company Pension plans

Company Pension plans are the most popular method for share holding company directors to fund for their retirement as the company can contribute part or all of the pension payments into a retirement fund for the benefit of the director.