Public Service Pension AVC'S top up

Hi all, thanks for this interesting thread. I'm in a similar situation to Daddy Ireland. My partner has joined the public service and is on the Single Pension Scheme. Figuring out how this scheme works is a bit of a head spinner and I don't quite understand it yet.

My partner also has a PRSA (thanks to LABrokers) to which she has been contributing before joining the PS.

She'll keep the PRSA contributions going if it's worth it from a tax perspective.

I would like to clarify:

She pays X% of her salary into the Single Pension Scheme with the PS.

Is it possible for her to claim tax back on the other Y% of contributions she puts into her independently arranged PRSA? Up to 20% as she is < 40?
 
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if her only income is from the public service she cannot continue with a stand-alone PRSA. She can establish an AVC (even a PRSA AVC) up to a total of 20%.
 
Conan said:
if her only income is from the public service she cannot continue with a stand-alone PRSA. She can establish an AVC (even a PRSA AVC) up to a total of 20%.
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What I'm really wondering is, can she keep her current PRSA and just treat contributions to it as AVC's for tax purposes, or must she create a new pension plan entirely to make AVC's to bring her up to the 20%?
 
It has to be a specific AVC PRSA, linked to the public sector pension. So a new AVC PRSA.
 
Conan said:
It has to be a specific AVC PRSA, linked to the public sector pension. So a new AVC PRSA.
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I understand now, thanks. We'll have to do something about her current PRSA then.

After googling for a bit I've found some AVC PRSA's which would be appropriate. This has helped explain a lot, cheers!
 
Daddy Ireland said:
Sorry I should have added that my wife would intend retiring at 60 so the contributions would be for approx 5 years x 18k per annum so very short term but worth it for the tax relief and taking of the 25% tax free at age 60.
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the original post is a few months old but just as an aside on the retiring at 60 element (having some pension income from the SSPS), I don't think the new "Single Scheme" allows retirement at aged 60 on normal grounds. Older schemes are 60 to 65 apart from prison officers, gardai etc. The SSPS retirement dates specify min retirement age 65 to 70 max, and this window is even shorter depending on birth.
 
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Hi, one other question related to all of the above!

This thread has been valuable and bought a lot of clarity to my partner's situation.

We had settled on a PRSA AVC so she can make additional, tax-efficient contributions.

We've since discovered the (perhaps irrelevant) idea of 'Notional Service Purchases'.

Does anyone know if this NSP concept applies to the Single Pension Scheme or not?
 
Not allowed - as of yet, at least. See Note 1:

https://www.education.ie/en/Educati...nsions/Teaching-Staff/Notional-Service-Scheme.

Also this from the Single PS Scheme Information Booklet:

Can I pay extra contributions?

The option to purchase additional retirement benefits within the Single Scheme is not
available at the moment. However, depending on your circumstances, you may be able to make
additional voluntary contributions to separate Revenue-approved pension arrangements (e.g. an
AVC Personal Retirement Savings Account or a trade union-affiliated AVC Scheme) if you wish to
independently increase your retirement benefits outside of the Single Scheme.

As your employer cannot provide you with financial advice, you should seek financial advice
independently.
 
POC said:
I rang Cornmarket a few weeks ago. I was told the AMC is 1.75%, the contribution charge is 5% initially but averages out at 3.75% on maturity. There also is a fee of €450 to meet their consultant.

Needless to say, I will continue to look into other options.
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POC did you have any luck finding a better deal on where to go?
 
The Cornmarket charges went down, so I went with them.
2% regular premium charge. 1% annual management charge.
 
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