Best Option???

[duneoin]

Have a pension from an old job (1994-2003) my contribution 8510 and employers 11022 so total 19532 now must decide what to do with it as as the plan is being wound up! Im not working now so think my only 2 options are a PRB or a PRSA at the moment the current investment strategy is ILIM Consensus Fund 100%. Dont have a clue and dont even know if i am making sense. Must decide before fri 30th Oct.

 

[LDFerguson]

You're correct as to what your options are at this point - PRB or PRSA. Assuming you weren't a director of your previous employer, if you go with a PRB your options at retirement will be the same as what they are under the scheme, i.e. tax-free lump sum and annuity (guaranteed pension for life). If you go the PRSA route, your tax free lump sum is calculated as 25% of the overall fund and you have the option of either an annuity or Approved Retirement Fund when you retire.

So the PRSA currently offers more options at retirement than the PRB, although this may change in the future. Charges on a PRSA will tend to be marginally higher than a PRB - usually 1% of the fund per year on a PRSA vs 0.75% of the fund per year on a PRB.

You can choose your own provider and fund(s) with either option, including the Irish Life Consensus Fund if you wish to continue there.

I wrote at greater length about these options [broken link removed].

Regards,

[broken link removed]