And that is very difficult to do in the Single Scheme, as it is based on career average earnings rather than final salary (as in older PS schemes). And, in turn, career average earnings are impacted not only by starting salary and final salary but whether promotions occur relatively early in the career or relatively late.
But as an example, here is a rough estimate. Lets say the OP accumulates 35 years service and has career average earnings amounting to €171,600 pa (in todays terms). At normal retirement age this should yield an annual pension in the region of €63,000 and a lump sum in the region of €225,000. (This annual pension excludes the State Pension, which does not count towards the Standard Fund Threshold).
In any event, the SFT should not present any barrier in his wife's case.
I have limited knowledge of the SFT but I believe it has been set at €2 million since 1st January 2014. Back in 2010 it was around €5.4 million. So it can go down as well as up. I doubt it will go down any further but will it go up to match inflation?do you know if the threshold is indexed?
If she takes out an AVC (or PRSA-AVC) it will be specifically linked to her public sector pension. She cannot continue to contribute to the AVC (or, at least, get tax relief on it) if she is not working in her pensionable position. Otherwise she might be able to set up a separate private pension for other income - others may advise on this.If my wife stopped working/took a career break can she still contribute avcs from other sources of income such as rental income/ dividends etc?
Anyway, on avcs it seems my plan should be:
1: Decide if I want to put any money into them at all
2: if yes to 1 then put money into wife's avc where possible
3: if I use up all wife's allowance in a year put them into mine
In their alternative budget last year, Sinn Fein proposed reducing the SFT to €1.5m.I doubt it will go down any further but will it go up to match inflation?
Nor do I but I wouldn't hazard a guess as to where it will be in real or nominal terms in 30 years. Likewise what marginal tax rates will be.I don't see any prospect of the SFT being increased in the foreseeable future.
Interesting,In their alternative budget last year, Sinn Fein proposed reducing the SFT to €1.5m.
I don't see any prospect of the SFT being increased in the foreseeable future.
Also known as "The British Empire".Brilliant! Makes it sound like protection money.
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