Big Changes to PRSAs and Pensions from January 2025. The Finance Bill, published in October 2024, brings some important changes to how pensions and Personal Retirement Savings Accounts (PRSAs) will work in Ireland. These changes will have a big impact on retirement savings for company directors. Here is a summary of the key changes from Jan 2025. Employer Contributions to PRSAs will be limited to 100% of Salary. The big news is that employers can only contribute up to 100% …
New Pension Rules 2023 for Company Directors
Very favourable and attractive new Company Pension Rules were signed into law on 15th of December 2022 for PRSA’s. (PRSA means Personal Retirement Savings Account). The Finance Act 2022 introduced significant changes to Personal Retirement Savings Accounts (PRSAs). We are happy to say these new rules will have a very positive impact for Company Directors and their spouses. What do the new Revenue Rules mean for Company Directors? 1. Your company can transfer more money in any single year into …
Inheritance Tax on Pensions – How to make sure your Spouse gets your Pension Tax-Free if you pass away
Recent changes in the Finance Act December 2022 now mean a PRSA Pension is the better way to structure your Pension so that your Spouse inherits your Pension Tax Free in the event of your untimely death. Currently most Company Directors have Executive Pension Schemes. In the event of your untimely death Executive Pension Schemes in most cases pay a lump sum to a spouse of no greater than 4 times your salary from the pension, with the balance assessable …
New Pension Rules for Company Directors are a GAME CHANGER for Business Owners.
Very favourable and attractive new Company Pension Rules were signed into law on 15th of December 2022 for PRSA’s. We have been liaising with industry representatives to verify the implications of these new rules. We are happy to say these new rules will have a very positive impact for Company Directors and their spouses. (PRSA means Personal Retirement Savings Account). These new changes now mean: Your company can transfer more money in any single year into a PRSA pension than …
What Happens to Stock Markets During Wars, Terrorism and Geopolitical Events?
The recent invasion of Ukraine is a humanitarian tragedy and we will no doubt be trying to figure out what this means for the Ukrainian people, and all Europeans, over the next few months. The lives and liberty of the Ukrainian people are the most important issue in all of this and, so far, it appears Europe and the West are united in their support of Ukraine. However, it is only natural in this new reality for us to consider …
Have You Got A Self-Administered ARF with Cash on Deposit?
Have You Got A Self-Administered ARF with Cash on Deposit? Most Business Owners with Self-Administered ARFs set them up originally to purchase property in their Approved Retirement Funds. These Property based ARFs have done quite well over the past decade but are now facing two big challenges: Many investors are now beginning to think that we are getting towards the end of the current property cycle and continued investment in property is looking less attractive You have Cash on Deposit …
Can I Take A Lump Sum From My Pension Tax Free?
You can usually take up to 25% of your pension fund as a lump sum, of which the first €200,000 is tax free and value over €200,000 is taxed at 20%. For example, if you had a pension fund valued at €600,000 then your lump sum would be 25% of €600,000 = €150,000. As the €150,000 lump sum is under the €200,000 limit this means the full €150,000 lump sum is paid tax free. If your 25% lump sum however …
I want to improve the performance of my existing Approved Retirement Fund (ARF)
I want to improve the performance of my existing Approved Retirement Fund (ARF) When you originally accessed your pension you may have set up an Approved Retirement Fund (ARF) using another Financial Broker or your Bank. We regularly receive contact from people who have existing ARF arrangements but are unhappy or confused about their Approved Retirement Fund. In most cases the reasons we are contacted typically relate to: There is however a solution to most of these issues: Excessive Fees? …
How Do I Protect My Approved Retirement Fund (ARF) During Periods of Stock Market Volatility?
When you accessed your Pension, and after you got your tax-free lump sum, you will in most cases have set up an Approved Retirement Fund (ARF). This ARF is the fund that you will draw your yearly income from in retirement. ARF funds are essentially investment funds with some exposure to stock markets, and by extension financial market volatility. This leaves many ARF holders worried about the impact of financial market volatility on their investment and their retirement income during …
