Pensions
The current state Pension (contributory pension) is approximately €238 per week ( 12,376 per annum ) for a single person. If that is the only income you have when you retire it could certainly mean a big fall in your standard of living. For example: Somebody earning approx €46,500 per annum who is retiring now at age 65 would effectively be asked to take a 75% drop in salary. Furthermore people are living longer so your retirement could last for approx 23 years. The good news is that the Government encourages pension planning and in return offers tax relief on contributions made to a pension within certain limits.
There are many different pensions,
PRSAs
A PRSA is a Personal Retirement Savings Account. It provides everyone with the opportunity to plan for their retirement and its flexibility suits all types.
Personal Pensions
If you are a self employed person or somebody in non pensionable employment then its up to you to start saving for your own retirement.
Executive Pensions
As a company director or owner, you can get your business to pay your pension contributions.
Company Pensions
In today’s competitive business environment employee benefits such as a company pension plan are becoming increasingly important in retaining and attracting the best people.
AVCs/ Additional Voluntary Contribution
Boost your retirement fund by taking out an AVC as early as possible.