Pensions and Retirement Planning

At BMC Financial Planning, we have experienced advisers who can help you to review your current situation.  We will outline the benefits available to you, and identify what you must do to ensure you have a sufficient income at retirement.

We have all heard about the need to provide for our retirement years, your retirement may seem a long way off, but you still need to plan for it today.  The most suitable pension plan for you will depend on your employment details, whether you are self-employed, a contract worker, an employee or a company director, our experience and knowledge means we can recommend the pension that best suits your needs.

Private Pension Contributions is one of the few ways in which an individual or company can make retirement provisions in a tax efficient manner.

We offer advice on Personal Pensions, Company Pension Schemes, PRSA’s, Retirement Bonds, Approved Retirement Funds.

Retirement Options

We also offer advice to clients who have Pension/Retirement plans in place but are getting close to retirement (5-6 years from retirement age).  Now is the time to be planning ahead and looking for help on deciding which option is best for you at retirement, annuity or ARF/AMRF.

Annuity

This is a very popular retirement choice in that it offers you complete peace of mind.  An Annuity guarantees to pay you a secure income for the rest of your life, no matter how long you live.  This is a very attractive option but you cannot pass any remaining fund on to your family when you die.  You have the option of choosing an Annuity that increases at a set rate each year, guarantees payment for a specific number of years or can provide a percentage of your income to your spouse after you die.

Approved Retirement Fund (ARF)

An ARF gives you more control over how your retirement fund is managed.  It is an investment plan with the intention of growing your fund during your retirement years based on your own investment strategy.

You can make withdrawals as and when you need to, and even use it to provide a regular income.  The funds in your ARF are available to your family after your death.  The downside of an ARF is that without careful planning it is possible to drain your fund before you die.

You can invest in a range of different investment funds depending on the level of risk you are comfortable with and you benefit from the tax-free growth of these funds.

There are certain restrictions to investing in an ARF.  If your guaranteed annual income is under €12,700, you must take out the Approved Minimum Retirement Fund (AMRF) first.  €63,500 of your total fund is invested in an AMRF and the remainder is invested in an ARF.

To discuss your pension options, please contact Dave at BMC Financial Planning