standard PRSA-AVC

thespecialon

Registered User
Messages
211
Hi,

I am looking to setup a standard PRSA-AVC through LABrokers. I am a civil servant. There is an option to use 'Salary Deduction by Employer'..If I choose this option will my employer deduct the relevant tax deductions or will I need to apply for the tax refund to Revenue myself? I was under the impression(perhaps incorrectly) that only PRSA though Cornmarket would allow tax deduction at source.

Thanks,
 
make sure you research it properly I just retired from civil service and found it pretty useless with all the terms and conditions etc .... very limited amount you can take etc
 
make sure you research it properly I just retired from civil service and found it pretty useless with all the terms and conditions etc .... very limited amount you can take etc
Thanks yes it's not a straightforward decision..my thinking is that as I won't have full 40 years by retirement I can use it to top up lump sum and the rest can be use to supplement normal pension ..I joined in 2007 so I'm on the integrated pension so it appears that it can be used there
 
I'm a great fan of LABrokers and the service that they provide. But people should be aware that it's an execution-only service which provides lower charges because LABrokers don't provide advice. So it should only be used by people who know what they're doing. Clearly people are entering into complicated contracts who don't know what they're doing. If you don't know what you're doing then for God's sake pay someone to tell you, or risk making a very expensive mistake by going into something that's unsuitable for you. And that wouldn't be LABrokers' fault. Penny wise; pound foolish.
 
Thanks yes it's not a straightforward decision..my thinking is that as I won't have full 40 years by retirement I can use it to top up lump sum and the rest can be use to supplement normal pension ..I joined in 2007 so I'm on the integrated pension so it appears that it can be used there

You should be ok. You can use the AVC to top up your lump sum to 120/80, provided you will have at least 20 years service at retirement and you take "normal retirement" (ie, at or after the normal retirement age for your scheme - I assume 65). Any balance can be put into an ARF. Depending on your salary and service, you might need to be careful that your total pension (including ARF drawdown) could put you into the top tax bracket (if that is a concern for you). Given that you are in a coordinated scheme, there should not be any risk of overfunding.
 
Back
Top