Transfer to PRSA
Yes, all of the previous contributors have made good points.
There are two sets of criteria for making this decision. (a) Pure Financial, and (b) No-financial concerns.
(a)Financial. Ask your scheme trustees what your current transfer value is, and what your projected level of pension will be.
Then ask an insurance company or broker what the projected pension would be from a buy-out-bond, assuming that you invest the current transfer value.
This will give a figure to help with the financial aspect.
Make sure that you are looking at like vs like. If your scheme included a spouses pension and inflation the comparitive buy-out-bond should also do so. Such calculations are very straightforward and very quickly done on the quotation systems availabel in almost every professional pension brokers office.
(b) non-financial. In a buy-out-bond you will have some INVESTMENT DISCRETION (eg equity, property or mixed/managed fund). You also however have the responsibility to pick which fund is most appropriate to you. (brokers can assist with information, but you must choose)
SEVERING TIES with previous employer is a common and valid reason. But if you were in a defined-benefit scheme with benefits promised, based on your earnings, then you should think hard before pulling out.
CONTROL you make like to have it under your own control, and some of the companies e.g. Eagle Star will give you online access and a PIN no. so you can track progress (downs and ups).
WHERE WILL YOU GO TO GET YOUR PENSION- companies merge, cease trading relocate and change trading names as indeed do brokers and possibly trustees. If you have your own buy-out-bond you remove the hassle of tracking things down later, or if you were in poor health or diminished capacity , could your dependants know where to go.
Further help - Who set up your PRSA ? altenatively go
www.PIBA.ie .This is the Website of the Professional Insurance Broker Association. There you can find an adviser in your area. They should have either the FLIA or Pensions Diploma qualification from the Life Insurance Association, (or equivalent).
You can double check on the broker by making sure he is regulated by the Irish Financial Services Regulatory Authority (IFSRA)