Lump sum for PRSA/ Pension - need guidance !!

Hi , in the midst of doing tax returns and it would be tax efficient to open up PRSA

Currently contracting so not sure what is on horizon for next year. Are there any products that would be suitable? e.g. I put in a lump sum now and a few moths of AVCs followed by no contributions..

Is PRSA the only option? If so, any input as to what products may be suitable & quick to open up !!

Also, i have an old pension from a permanent position I held - could I move that money into PRSA? Would I have to close out existing scheme before opening PRSA.. I can no longer make contributions there ..

dubinamerica said:

Hi , in the midst of doing tax returns and it would be tax efficient to open up PRSA

Currently contracting so not sure what is on horizon for next year. Are there any products that would be suitable? e.g. I put in a lump sum now and a few moths of AVCs followed by no contributions..

Is PRSA the only option? If so, any input as to what products may be suitable & quick to open up !!

Also, i have an old pension from a permanent position I held - could I move that money into PRSA? Would I have to close out existing scheme before opening PRSA.. I can no longer make contributions there ..

Click to expand...

Are you self employed?

no, i'm paye, employed by an "umbrella" company , that contract me out to a particular company, so not considered self employed. My contract is finishing at year end and with the current climate, I'm not sure if it will be renewed.

Then a PRSA is probobley the best way to go. Since you do your own tax affairs it will be easy to claim back any relief you are due.

Its very transparent and is easy to pay into.

If you have an old pension (that you cannot contribute to) you can setup a PRSA and subject to the rules of your older pension you may be allowed to move your fund into your new PRSA.

First you should contact whoever is looking after your old pension and ask them for your options (ie what can you do with the pension).

Secondly you should either contact a financial advisor (through friends recommendations or (phone a few of them).

Do you have an accountant (or accountant friend) as they normally know one or two Advisors who they would confidentally recommend.

If you are comfortable choosing a product provider and the funds that you want to invest in, you could buy a low-cost product on an 'execution only' basis (no financial advice) from any of the discount brokers listed on the 'Best Buys' section of this forum.