Why Pensions make sense

A Pension can be the most tax efficient way of saving your money. While we may all receive the Old Age Pension, there is ongoing pressure, due to the ageing population, on the government to provide generous pensions. If we want additional income for our requirement, we will need a pension and the best time to start is the minute you start earning money.

Why do you need a pension & why should you seek pension advice?

The current pension entitlement is €247 per week. The age that you can receive this is 66, rising to 68 from 2028. We advise all our clients to at least discuss having a pension. The pension can also provide for your family in the event of your death – your policy does not disappear on your death.

If your intention is to save some money each month at the end of your outgoings, there will never be any money. Investing in a pension, where you save money you never see and you live within your means. Yes, there is a little pain with this level of discipline, but it is nothing like the pain of regret that you experience at 65 with no pension. Speak to Alan today.

We base our advice on the following:

• When you want to retire
• How much you think you will need, in addition to your Old Age Pension when you retire
• How much you can afford to save right now

Some points to note

• There are some limits as to how much you can contribute but they are generous
• It’s not easy to dip into your pension in a crisis
• When you take out your pension there are tax implications – speak to Alan
• There is a Tax Free Lump sum on retirement – its important to understand how this works.