Age: 49
Spouse’s/Partner's age: 49
Annual gross income from employment or profession: €28k
Annual gross income of spouse: €75k
Monthly take-home pay: €5.9k
Type of employment: Me: Private Sector
Spouse: Civil Servant
In general are you:
(a) spending more than you earn, or
(b) saving? Yes 2-3k per month towards home renovations
Rough estimate of value of home: €320,000
Amount outstanding on your mortgage: zero
What interest rate are you paying? zero
Other borrowings – car loans/personal loans etc: No
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card? zero
Savings and investments: €65k state savings, €40k deposit accounts (saving for home renovations)
Do you have a pension scheme? Me: PRSA. Spouse: Civil Service pension pre 95
Do you own any investment or other property? 1 bed apartment rent €1.1k pm. No mortgage, value approx €200k
Ages of children: 13, 10, 8
Life insurance: Yes €150k each and spouse DIS benefit €100k
What specific question do you have or what issues are of concern to you?
We are jointly assessed and our credits for 2021 have been adjusted to allow for estimated tax due on rental income. I started a PRSA in January and I have adjusted my credits to get the tax relief during the year. The rest of my cut-off has been assigned to my spouse. I returned to work last year part-time after a number of years without paye income and I made a payment into my prsa for last years paye income. I have a prsa worth €16k from a previous employment and a prb worth €7.5k from before that. The new prsa only has a value of €5.5k currently and I'm adding €500pm at the moment.
I have two concerns:
Are we using our tax credits in the best way? Is there anything we could be doing or looking at to reduce our tax bill.
Related to this, I am concerned about my pension (or lack of), I only receive 20% relief on my prsa contributions but I will need to pay my maximum limit to get anywhere with building up the fund. Are we stuck with the 20% relief or can we do anything between us on this?
Finally, should I transfer my old prsa fund into the new one or am I better off leaving the two prsa funds separate or does it matter? As far as I know I can't do anything with the prb.
Actually one more question, does anyone know if the TWSS can be taken into account when calculating the maximum that can be paid into pensions?
If anyone has any other comments/advice on any of the information above, please feel free to share. All comments and advice are very much appreciated.
Spouse’s/Partner's age: 49
Annual gross income from employment or profession: €28k
Annual gross income of spouse: €75k
Monthly take-home pay: €5.9k
Type of employment: Me: Private Sector
Spouse: Civil Servant
In general are you:
(a) spending more than you earn, or
(b) saving? Yes 2-3k per month towards home renovations
Rough estimate of value of home: €320,000
Amount outstanding on your mortgage: zero
What interest rate are you paying? zero
Other borrowings – car loans/personal loans etc: No
Do you pay off your full credit card balance each month? Yes
If not, what is the balance on your credit card? zero
Savings and investments: €65k state savings, €40k deposit accounts (saving for home renovations)
Do you have a pension scheme? Me: PRSA. Spouse: Civil Service pension pre 95
Do you own any investment or other property? 1 bed apartment rent €1.1k pm. No mortgage, value approx €200k
Ages of children: 13, 10, 8
Life insurance: Yes €150k each and spouse DIS benefit €100k
What specific question do you have or what issues are of concern to you?
We are jointly assessed and our credits for 2021 have been adjusted to allow for estimated tax due on rental income. I started a PRSA in January and I have adjusted my credits to get the tax relief during the year. The rest of my cut-off has been assigned to my spouse. I returned to work last year part-time after a number of years without paye income and I made a payment into my prsa for last years paye income. I have a prsa worth €16k from a previous employment and a prb worth €7.5k from before that. The new prsa only has a value of €5.5k currently and I'm adding €500pm at the moment.
I have two concerns:
Are we using our tax credits in the best way? Is there anything we could be doing or looking at to reduce our tax bill.
Related to this, I am concerned about my pension (or lack of), I only receive 20% relief on my prsa contributions but I will need to pay my maximum limit to get anywhere with building up the fund. Are we stuck with the 20% relief or can we do anything between us on this?
Finally, should I transfer my old prsa fund into the new one or am I better off leaving the two prsa funds separate or does it matter? As far as I know I can't do anything with the prb.
Actually one more question, does anyone know if the TWSS can be taken into account when calculating the maximum that can be paid into pensions?
If anyone has any other comments/advice on any of the information above, please feel free to share. All comments and advice are very much appreciated.