I guess it shows how little I know about pensions but isn't PRSA a type of pension and If I don't have a PAYE income from employment or business then I won't be able to have contributions? (I might be totally wrong)
I guess it shows how little I know about pensions but isn't PRSA a type of pension and If I don't have a PAYE income from employment or business then I won't be able to have contributions? (I might be totally wrong)Maybe you should have a re-read of my post as I made no reference to having a job or starting a business for the purpose of adding to a pension!!
Yes, you can make contributions without a job/income. You need income (or future income) to get tax relief.using pension for tax benefits, even when the contributions are not tax relieved, based on tax free compounding and/or inheritance tax planning.
This is a ludicrous approach given the sums involved.if you are building a portfolio and picking the top 20 stocks , are you going to choose by market cap or by Technicals or fundamental earnings or volatility or all of the above , if you dont know it may be beneficial to sign up to something like the roppel report from Jim Roppel and see if you find it beneficial , im not signed up to it personally as i have my own stock screener TC2000, but i watch all his youtube stuff.
im sure it could help you in your stock choice, but in any case you will still have to rotate the stocks every year to 2 years to weed out the lower performing ones.
Excellent point.Consider to Start gifting to your kid on birth so they can get the compounding in their name and avoid future inheritance tax.
Or a few VERY good nights out when they hit 18 and the money is legally theirs. Big gamble to take to save tax imho.Excellent point.
6,000 with 3% growth compounded over say 25 years = ~230k tax free.
That's the 10% deposit on a 2.3M gaff right there.
You could always make a comedic TV show about the struggles of adapting to the farming way of lifeIt wouldn't suit a lot of people, but there might be some for whom it is worth considering: invest in creating your own relatively low-risk business, such as buying a farm. It would provide you with something to do, you might prefer the feeling of having a greater control over your property, and, unless the law changes, there are tax advantages to earning your income and passing on a business to your child.
Or a few VERY good nights out when they hit 18 and the money is legally theirs. Big gamble to take to save tax imho.
my quote is similar to what Brendan suggested in post 12, i was just suggesting using some more info to do more of a deep dive on 10 or 20 stocks to pick, not so ludicrous also considering the OP traded both Tech and Crypto stocks which is presumably how he came by some of the his 5MThis is a ludicrous approach given the sums involved.
I haven't seen it happen. Any over 18 year old children that any of my clients do this for haven't spent it. They understand the money is there for a house deposit and they pay no attention to it. It is not as if the money is in their current account, it is with a life company and the kid has no visibility of it.Or a few VERY good nights out when they hit 18 and the money is legally theirs. Big gamble to take to save tax imho.
There's a risk, but you can't eliminate it for a 30/40/50 year old either. Plenty of evidence of older 'children' going mad with inheritances or having partners that are a dab hand at blowing easy money. It's parents job to educate their children on money matters, no one else is going to do it. If it's a subject that's frequently discussed in the home then, IMHO, you're reducing the risk.
We wouldn't be know as a Nation of folk that really talk about money. That's probably why anonymous forums are successful.
Gerard
www.prsa.ie
There’s a reason Michael O’Leary has a dairy farm for his home! Having worked for the man briefly, it’s very clear that he prefers assets that have an earning potential… e.g. his personal motor vehicle and driver = taxi when he doesn’t require them.It wouldn't suit a lot of people, but there might be some for whom it is worth considering: invest in creating your own relatively low-risk business, such as buying a farm. It would provide you with something to do, you might prefer the feeling of having a greater control over your property, and, unless the law changes, there are tax advantages to earning your income and passing on a business to your child.