Does anyone know of an online calculator that will show the equivalent pension pot required to provide the same benefits as a superannuation scheme?
Example of superannuation scheme:
Tax-free lump sum payable on retirement = €68,674.08
Annual pension = €13,040.85
For comparison purposes, Is it correct to base a fund valuation on an annual drawdown equivalent of 5%?
If so the above-mentioned benefits would have an equivalent fund value of €329,491.08 ( €13,040.85 / 5% = €260,817 plus €68,674.08)
Should a valuation allowance be made for the tax-free status of the lump sum considering the annual pension would be taxable?
Would be grateful for any comments.
Example of superannuation scheme:
Tax-free lump sum payable on retirement = €68,674.08
Annual pension = €13,040.85
For comparison purposes, Is it correct to base a fund valuation on an annual drawdown equivalent of 5%?
If so the above-mentioned benefits would have an equivalent fund value of €329,491.08 ( €13,040.85 / 5% = €260,817 plus €68,674.08)
Should a valuation allowance be made for the tax-free status of the lump sum considering the annual pension would be taxable?
Would be grateful for any comments.