I have just started a new job. I made 28 years of pension contributions into a defined benefit scheme with my previous employer which I am leaving in that pension scheme to draw down later.
The new employer has a PRSA scheme whereby they contribute 5% and I contribute 5%. I want to contribute AVC's, but, was told that the maximum allowed was 5%. I am in my late 40's. The financial advisor commented that "this was one of the reasons why PRSA's have been a disaster for the Government. The rules were drawn up by some civil servant smug in the knowledge that his pension was DB and inflation proof etc at taxpayers expense, taxpayers like you and me!" The only option given to me was Irish Life. While I have nothing against IL I would have thought since the PRSA will be mine and portable from job to job I would have been offered a few options. Note: this is a foreign start-up company and there is no internal HR Dept.
Is the limit of 5% on AVC's correct? There is also no life insurance (of interest to me being a married man with a family) added to the company's pension offer. Is this normal for these newer PRSA company pension schemes?
I realise that the tax relief is quite good on contributions, but, I am considering opting out and going some other investment route. I also have a concern about the whole PRSA route for my two near-college leavers! I am also in the middle of recruiting a team of young employees and am similarly concerned for them. Is the PRSA the only game in town?
The new employer has a PRSA scheme whereby they contribute 5% and I contribute 5%. I want to contribute AVC's, but, was told that the maximum allowed was 5%. I am in my late 40's. The financial advisor commented that "this was one of the reasons why PRSA's have been a disaster for the Government. The rules were drawn up by some civil servant smug in the knowledge that his pension was DB and inflation proof etc at taxpayers expense, taxpayers like you and me!" The only option given to me was Irish Life. While I have nothing against IL I would have thought since the PRSA will be mine and portable from job to job I would have been offered a few options. Note: this is a foreign start-up company and there is no internal HR Dept.
Is the limit of 5% on AVC's correct? There is also no life insurance (of interest to me being a married man with a family) added to the company's pension offer. Is this normal for these newer PRSA company pension schemes?
I realise that the tax relief is quite good on contributions, but, I am considering opting out and going some other investment route. I also have a concern about the whole PRSA route for my two near-college leavers! I am also in the middle of recruiting a team of young employees and am similarly concerned for them. Is the PRSA the only game in town?