Understanding Your Pension Brought to you by Cornmarkets Retirement - - PowerPoint PPT Presentation
Understanding Your Pension Brought to you by Cornmarkets Retirement Planning Service Cornmarket Group Financial Services Ltd. is regulated by the Central Bank of Ireland. A member of the Irish Life Group Ltd. which is part of the Great-West
Cornmarket Group Financial Services Ltd. is regulated by the Central Bank of Ireland. A member of the Irish Life Group Ltd. which is part of the Great-West Lifeco Group of companies.
Brought to you by Cornmarket’s Retirement Planning Service
Source: The Economist, 07.04.11, figures have been rounded.
*Cornmarket customer average retirement age. Source: Cornmarket 2017 **From 2028, the State Pension age will increase to 68, Source: pensionsauthority.ie ***Source: Stanford University, October 2018
2028
2021
2019
Payable
Taxed & Paid for Life
Tax-Free & Paid Once
Are you entitled to a Supplementary Pension? Cost Neutral Early Retirement? Are you entitled to an old age pension? Are you A1 or D1 PRSI?
?
What age can you retire?
?
Will you need Job Seekers Benefit?
? ? ? ?
Superannuation / Pension Supplementary Pension Old Age Pension
Job Seekers’ Benefit
10 Years Early 2 Years Early 5 Years Early At Retirement
€ € €
€
€
Warning: If you invest in this product you may lose some or all
Warning: The value of your investment may go down as well as up. Warning: If you invest in this product you will not have any access to your money until you receive your Superannuation Benefits. Warning: This product may be affected by changes in currency exchange rates.
1.
2.
3.
4.
Early retirement Shortfall in service Over 40 years service Non pensionable earnings (overtime) Revenue maximum pension Make the most of tax relief
✓ ✓ ✓ ✓ ✓ ✓
*assuming tax relief at 40%
30-39 40-49 50-54 55-59 60+
Under 30 20% 25% 30% 35% 40% 15%
Maximum %
Age
(assuming 40%)
€11,000 Investment growth
€17,000 tax relief (assuming 40%)
Source: Cornmarket, April 2019. Figures have been rounded to the nearest thousand and are based on 1,520 Cornmarket Clients from five AVC Schemes.
*Source: Cornmarket, 2019. Based on the Revenue maximum Tax Free Lump Sum available at 40 years & 32 years of service.
Purchase employer benefits
Annuity (income for life)
Approved Retirement Fund (ARF)
Taxable cash
Combination
*Source: Irish Life Pension Prophet, 15/03/2019. Figures have been rounded to the nearest thousand. May be subject to tax, PRSI and USC.
Additional pension €3,000 per annum*
Approved Retirement Fund
*Requirement for ARF – guaranteed income of €12,700 p.a.**May be subject to tax, PRSI and USC.
€
*Requirement for Taxable Cash – guaranteed income of €12,700 p.a. .**Universal Social Charge & Other terms and conditions apply.
*May be subject to tax, PRSI , USC **Requirement for ARF, Taxable Cash - guaranteed income of €12,700 p.a
*Source: Cornmarket, 2019 . Figures have been rounded to the nearest thousand **€595 fee plus 4% contribution charge. An annual management charge will also be applied by the insurance company. The typical charge is 1% per annum. The €595 fee only applies if you are not already a member of the AVC Scheme.
€15k
€14k
***assuming 40% tax relief
€6k
**Inclusive of fees & charges**
Are short service Have service over 40 years Have non-pensionable earnings Experienced a reduction in pay
*Cornmarket Tax Return Service is a tax based service and not a regulated financial product.
Let us do the work for you
Ask your employer to fill out our form We use our ‘dynamisation’ calculator You find out if you’re due extra tax free cash!
Home Health Car Travel
Inheritance Planning
Retired Members Life Cover
Savings
Let us do the work for you
Your Pension and Lump Sum Options on drawing down your AVC Lump Sum AVC
Cornmarket Group Financial Services Ltd. is regulated by the Central Bank of Ireland. A member of the Irish Life Group Ltd. which is part of the Great-West Lifeco Group of companies.
Let us do the work for you
For a copy of today’s slides visit cornmarket.ie/retirement-seminars