Couple, 60 SW - No Pension

[Simpli]

Hi, i'll keep it brief:

Parents, no assets other than the family home, coming 60 with no private pension. Currently on social welfare allowance, and fostering two children who are under 10. So 10 years of fostering income. Can afford to contribute 2k per month into a PRSA for the next 10 years, can anyone give me a steer as to what PRSA we should be looking at?

They are just looking for a similar income per month (2k) plus the state pension, in retirement. Thanks.

 

[Protocol]

Are they in employment? It seems not?

Making pension contributions depends on having pensionable earnings.

Do they pay income tax?

Making pension contributions makes more sense if people have a tax liability that can be cut due to the pension conts.

 

[Simpli]

They are not in formal employment and do not pay income tax. The main aim is to ensure they are provisioned for, after the delta of the foster money ends. So in 10 years time they're hopeful of having circa 250k to live off. Happy to accept the higher risk of an indexed ETF.

Another question: Does income from a PRSA (circa 20k per annum) impact eligibility for a non contributory pension?

 

[ClubMan]

Another question: Does income from a PRSA (circa 20k per annum) impact eligibility for a non contributory pension?

As far as I can see it would be assessable under the means test:

State Pension (Non-Contributory)

The State Pension (Non-Contributory) previously called the Old Age Non-Contributory Pension is a means-tested payment available to people in Ireland aged 66 and over.

www.citizensinformation.ie

Cash income not included in the means test

This document lists the income from cash not included in the means test for social welfare payments.

www.citizensinformation.ie