Cornmarket AVC Fees & Some Misc Queries

ToFixorNotToFix said:

As an aside (different from Acer10 as I had no break in service) I started in the public sector (3rd level) in 2001 but only joined the pension scheme in 2007 (stupid but I had no clue then). I am now in the post 2005 scheme, but have the same conditions re retirement age etc as pre 2005 employees - i.e. I can retire on full pension at 60.

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Hi @ToFixorNotToFix ... 3rd level may be different as that may be ETB or something other than the Dept of Ed & Science.
There is no 'pre 2005' in Secondary, Community or Comprehensive Schools...
Just PRE 2004 (called Old Entrant)
POST 2004 (called New Entrant)
These cannot be differentiated on a payslip. There is no way to know what scheme you are on from payslip, without Pensions or Payroll telling you and this can take years to find out (for me, it took from Jan 2021 until Jan 2024).

(Sorry - I do not know the names of the later pension schemes - 2011, 2013 etc).

Just today, I received an email from Payroll, to clarity that I joined the pension scheme on September 1st 2007. However, I was working in my present job since August 2006.

I am kicking myself... There was this 'myth' that if you were a teacher 'you had to keep all your paper payslips for your Entire LIFE'. The thing is... It was NOT a myth. You should keep every payslip as you never know what evidence you will need by retirement.... I do not have payslips from 1997 to 2010 anymore

S class said:

It's not complicated to decide on suitable fund.
Just choose a mixed asset fund at your comfortable risk level.

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When I completed the Zurich Risk Profile, I had a profile of 3.
Is there a way to know what a 'normal risk profile' is for different age groups.

Prisma 3 was the suggested product.

The next option was to choose products and add a percentage of fund towards that product. From this point, I didn't know what to do.

'choose a mixed asset fund'...
Would Prisma be a mixed asset fund? Is there a way to know what a mixed asset fund is. (I'm cringing asking this question... Answer is probably right in front of me).

All the prisma funds are mixed assets.
Prisma 3 is medium risk level.
Prisma 1 is low risk. Prisma 6 is high risk.
You can get a fund information sheet for each fund on the Zurich website.

What fund you choose depends on what level of risk you are happy with.
100% prisma 3 means you are medium risk.
If you want to up your risk level you could for instance go for 50% prisma 3 and 50% prisma 6.

Or you could go 100% prisma 4 or 100% prisma 5.

If you have a good pension already and the extra pension you are setting up with your PRSA is just an extra bonus you could consider a high risk level.

If your extra pension from the PRSA is needed for basic essentials in retirement you would need to keep your risk level lower.

You can change the funds any way you like as you continue on paying into your PRSA.

So basically don't worry to much about it at the setting up stage. Go with what you are happy with.

As time goes on and you learn more you might then decide to raise or lower your risk level.

ACER10 said:

Is there a way to know what a 'normal risk profile' is for different age groups.

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There isn't, as the profile is based on what level of volatility you are comfortable with. I might believe that a young person with 30 years to go until retirement should be in an all-equity fund which would have a high risk rating - probably 6. But if that person is of a nervous disposition and would lie awake at night worrying every time the fund dropped in value (as it inevitably will from time to time) then a "6 fund" would not be suitable for them.

LDFerguson said:

There isn't, as the profile is based on what level of volatility you are comfortable with. I might believe that a young person with 30 years to go until retirement should be in an all-equity fund which would have a high risk rating - probably 6. But if that person is of a nervous disposition and would lie awake at night worrying every time the fund dropped in value (as it inevitably will from time to time) then a "6 fund" would not be suitable for them.

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Thank you.

S class said:

All the prisma funds are mixed assets.
Prisma 3 is medium risk level.
Prisma 1 is low risk. Prisma 6 is high risk.
You can get a fund information sheet for each fund on the Zurich website.

What fund you choose depends on what level of risk you are happy with.
100% prisma 3 means you are medium risk.
If you want to up your risk level you could for instance go for 50% prisma 3 and 50% prisma 6.

Or you could go 100% prisma 4 or 100% prisma 5.

If you have a good pension already and the extra pension you are setting up with your PRSA is just an extra bonus you could consider a high risk level.

If your extra pension from the PRSA is needed for basic essentials in retirement you would need to keep your risk level lower.

You can change the funds any way you like as you continue on paying into your PRSA.

So basically don't worry to much about it at the setting up stage. Go with what you are happy with.

As time goes on and you learn more you might then decide to raise or lower your risk level.

Click to expand...

This was so helpful.