Question on pension for under 30s

P

Pup

Guest
"If you are aged under 30 and contributing 5% of your salary as part of the normal pension scheme, you will be able to get tax relief on an extra 10% of your salary."

Brendan included the above as part of the FAQ on Defined Contribution pensions. I am 25 and have had a defined benefit pension for the last 4 years. I have moved job and the new company's pension scheme is defined contribution. I will be paying 4% into the scheme and the company will contribute 3% (while I'm under 30).
If I pay 1% AVC, can I get the tax relief as mentioned by Brendan. How does this work? BTW, I have a mortgage already.

Thanks in advance,

Pup
 
When funding a pension you can claim full tax and PRSI relief on contributions up to the relevant age related limits. See for more details.

Code:
Age                    Amount which qualifies for tax relief
Under 30 years         15% of net relevant earnings
30 to 39 years         20%
40 to 49 years         25%
50 and over:           30%

How does this work?

If you are making contributions at or below the limit for your age then tax and PRSI relief should be granted via payroll (i.e. "normal" and AVC pension contributions will be deducted from gross before calculation of tax/PRSI).