NoRegretsCoyote
Registered User
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I don't think so. The fund size you are quoting is on the low side. Most people I know, its a lot more.
Why bother?I'll dig out the CSO statistics later.
Do you think that we didn't have similar problems back in the 1970's and 1980's. Mortgage rates at 14%? Higher income tax. Blackouts, petrol shortages, no computers, internet etcVery few people can do without their pensions, half the country rely solely on the State pension and the next generation of young people are squeezed to the limit, paying huge income taxes, Hugh mortgages and travelling up two and half hours each way to their jobs in Dublin every day. High childcare costs. How can they contribute towards investments for their retirement, impossible. You are one of the very lucky ones when you sat that you don't need your pensions.
Very few pensioners pay income tax at the higher rate on their pension income.
It's probably more accurate to say that pension contributions are relieved at your marginal income tax rate but drawdowns are inevitably taxed at a much lower effective rate - possibly as low as zero.The major draw of pension contributions is that in general you'll get relief at the higher rate as you pay in, but will pay tax at the lower rate as you draw down.
It's also worth bearing in mind that, as things stand, the over 65s don't pay PRSI and there's no USC on social welfare payments (including the State Pension (Contributory)).
Which is why some of us remember when a few years back Michael Noonon raided Irish pensions. Made me think that there was no way I'd go for an AVC and that the best bet was to only contribute the amount that got the tax benefit and that got the employer contribution.
You shouldn't have governement uncertainty into the mix. Not on something as important as pensions.
@LS400 made a claim of 700% growth 1995 to date
You are claiming max 400% growth and over a longer period.
You're not contradicting me, if indeed you were trying to.
Uncertainty is part of life.
Variety is the spice of life here. Ive done well out of the property market "to date", ie, if i were to cash out now, and Im saying this without any smugness, would be very comfortable, and, many times better off than any Pension i could have afforded.
At the same time, 10 years from now, it could be wiped out with a terrible property crash.... Which expert here wants to stick their head above the parapet and claim to know what lies ahead. ??
So, you purchased a property for IR£23,600 (€30k) back in 1995, "just let it run its course" and you now reckon it has a fair market value of €240k. Right?I purchased a property for €30000 24 years ago, and I just let it run its course also, its value is €240k.
Ok, so the purchase price in 1995 was €38k - and not €30k as per your original post.Speaking of Punts.. It was 30000 punts spent on1995..
And how would you feel if you were one of those affected by what Noonan did?If such restrictions didn’t come to pass,I’d be pretty annoyed to be sitting here 30 years from now having followed your lead.
And how would you feel if you were one of those affected by what Noonan did?
Are you saying he's making things up. I bought in early 98, sold in late 2002 and the propety went up 100%. That's cost price, renovations, a bit of extra ground, more renovations. Rented in between. Thank goodness for indexation and CGT at 20%.So, you purchased a property for IR£23,600 (€30k) back in 1995, "just let it run its course" and you now reckon it has a fair market value of €240k. Right?
Sorry but that's just not plausible.
You couldn't possibly have picked an individual property that outperformed the broader Irish property market over the last 24 years to that extent.
I'm not advocating that at all, just that not to have all your eggs in one basket. Stories like Enron, Waterford Glass and something in Cork make people like me worry about guaranted pensions.I wouldn’t really care to be honest. A quasi solidarity tax of a fraction of a percent of my fund during one of the most difficult periods in the history of the State certainly wouldn’t stop me building wealth for my family via my pension fund.
Turning one’s back on pension funding seems like a serious overreaction.
I said it wasn't plausible that an individual property in Dublin had increased in value by well over 500%, during a time period (1995 to 2019) when Dublin property prices in general increased by around 300%.Are you saying he's making things up.
I'm not advocating that at all, just that not to have all your eggs in one basket. Stories like Enron, Waterford Glass and something in Cork make people like me worry about guaranted pensions.
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