Can an existing pensioner (60yo) avail of the SSIA transfer to pension top up?

M

mack123

Guest
As you'll gather, I'm not too familiar with the Pensions scene, and I can't find anything within the AAM forums which answer my specific questions!

I'm a 60yo retiree into my third year of a public service pension of 28k per annum, with no outstanding major loans or mortgages.

My SSIA matures in December 06, and I'm having difficulty negotiating the various options or benefits available to me in regard to further investment in the various PRSA and/or Personal Pension schemes on offer. Recent amendments to the rules regarding the €7,500 investment, with state contribution of €2,500, seem to have clouded the issue, and a number of companies I've contacted haven't even bothered to reply to my enquiries.

My simple(?) question:
As an existing "pensioner" can I transfer €7,500 of my SSIA proceeds into a new retirement fund; benefit from the €2,500 top-up (which I understand I am now unable to withdraw immediately); contribute approx 20% of my monthly pension for a period of 4 or 5 years, and then either withdraw the resultant proceeds then, or receive a monthly dividend thereafter for a defined period?

If so, what levels of taxation will apply from the moment I received monies from my SSIA on maturity?
Is it even worthwhile to considering an option like this, if it exists at all?
 
Don't know if you can avail of this or not, but even if you can its not really worthwhile.
If you put in 7500 and the govt puts in 2500 you will have a total of 10,000. But when you go to draw it out you will pay 20% tax and probably 6% PRSI. 2,600 back in tax. So you'd actually be 100e worse off!
 
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