Are you absolutely sure about the 75 years thing? Seems absolutely crazy.In a related matter - I would also draw attention to the position I find myself in regarding AVCs as a warning to others!!
I have been paying into AVCs via the IMPACT scheme for several years now. However, as I will not have GUARANTEE income (only pensions considered guaranteed apparently) of at least €12,700 at 65yrs, all my contributions MUST go into an AMRF and then I cannot access this money until I reach 75 years!!!! So it is effectively locked away.
In a related matter - I would also draw attention to the position I find myself in regarding AVCs as a warning to others!!
I have been paying into AVCs via the IMPACT scheme for several years now. However, as I will not have GUARANTEE income (only pensions considered guaranteed apparently) of at least €12,700 at 65yrs, all my contributions MUST go into an AMRF and then I cannot access this money until I reach 75 years!!!! So it is effectively locked away. If I can reach the 12,700 level of pension income, which may be possible once I receive the contributory old age pension at age 66, I then have the option to transfer to an ARF and can then draw down on it.
QUESTION - would I be better to stop my AVC contributions now (paying in about €400 per month) and opting to save the same amount in State savings while also withdrawing some of my AVCs under the Government scheme which allows early withdrawals. Appears this is one way of accessing it.
If I can reach the 12,700 level of pension income, which may be possible once I receive the contributory old age pension at age 66, I then have the option to transfer to an ARF and can then draw down on it.
Thanks for the clarification, particularly on these two points.[*]AMRFs are not locked up until you're 75. You can access them at any time by converting them into an annuity, i.e. a guaranteed pension for life.
[*]In fact you can use your AVCs to buy an annuity at retirement and bypass the AMRF altogether if you want.
Cant the avc be applied to the tax free lump sum where the lump sum payable is less than the revenue max?
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