Biggest Shake Up in Pension History
As you may have seen in the news last week the governments plan to sign off on the biggest shake-up in pension history.
Under the landmark reform, workers aged between 23 and 60 earning more than €20,000, who do not already have a private pension, will be enrolled in a pension plan from 2024.
If you fall into this category and don’t have a pension we are here to help you get ahead of the curve. Now is the time to start thinking about your future, it is never too early to start a pension. A question you might be asking yourself is:
How Much Should I be Saving?
It’s one of the most common questions people ask – and the answer depends on your circumstances. Your current age, your salary, and your planned retirement age, along with other factors that will help determine how much you should save each month.
Retirement brings a big lifestyle change. Your commuting and electricity bills could fall significantly, but your health expenses may increase. You may eat out less often, but you may wish to travel more frequently. How you wish to spend your retirement years will have a reflection how much you should put into your pension.
Benefits
Some companies offer employees a pension contribution, which means they will top up your pension by an agreed percentage at the end of each month. If this is available to you it is a great way to bump up your pension pot. It is something the government is hoping to enforce in the pension reform but details haven’t been confirmed just yet.
When you retire you may also be eligible for certain benefits, such as a tax-free lump sum. The benefits available to you depend on the kind of pension you have taken out and the tax arrangements at the time of your retirement. Your financial advisor will be able to take you through the various options available.
Now is the time…
How do you see yourself during your retirement? Relaxing in a restaurant with friends? Travelling the world or maybe just spending more time with the grandchildren? To reach your retirement goals you’ll need to make sure that you prepare for it in the best way. If you’ve yet to start putting some money away, now is the time to stop putting it off and start planning for retirement today.
If you would like more information on Pension Plans, contact us for a no-obligation chat today.
We will help you through every step of the decision process to help you find a pension plan suited to your financial goals and current circumstances.
Phone: 098 51605 or Email: financial@hastings.ie
