Scenario is:
Individual will be 60, has full time employment, with 24 years service and is in a DB scheme but would have 33yrs pension service at that time.
Redundancy being offered so a €200k lump sum is being offered.
However pension can be taken at 60 and a €115k lump sum can be taken.
What is the tax liability in the above scenario?
It’s head scratching time as individual wants to go at 63yr and 38 years pension, as buying back years but pension lump sum would be 155k.
Appreciate any insights
Individual will be 60, has full time employment, with 24 years service and is in a DB scheme but would have 33yrs pension service at that time.
Redundancy being offered so a €200k lump sum is being offered.
However pension can be taken at 60 and a €115k lump sum can be taken.
What is the tax liability in the above scenario?
It’s head scratching time as individual wants to go at 63yr and 38 years pension, as buying back years but pension lump sum would be 155k.
Appreciate any insights