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Transcript of 1 NUI Galway Group PRSA Scheme Personal Retirement Savings Account -suitable for non-pensionable...
1
NUI Galway Group PRSA Scheme
Personal Retirement Savings Account
-suitable for non-pensionable employees
Noel Hackett QFA New Ireland Assurance Atlanta House
36 Dominick Street Galway Tel 086-8186163 - 091 563023
Email; [email protected] 3rd March 2015
NUI GALWAY PRSA
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Index
Background Pensions Update Eligibility & Contributions Charges Tax Benefits Retirement Benefits Fund Choice and performance Communication
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PRSA Scheme –Who’s Who
Employer – NUI Galway
Suitability – Non pensionable Employees of NUI Galway
Administrators – New Ireland
Investment Managers• State Street Global Advisors (SSGA)
• Kleinworth Benson Investment Managers (KBI)
4
Legal Aspects
Individual PRSA contracts
Assets personally owned by member
New Ireland approved PRSA provider
Registered with the Pensions Board no. APP/H/316/F
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Pensions Update
Pensions Levy:
2011-2014 Temporary Pensions levy finished 0.15% for 2015, what then? Applicable to private pension funds in operation for Irish residents. The amount of levy paid in any year will be determined based on the
market value of the assets on 30th June each year.
AMRF / ARF Withdrawal:
Changes with effect from January 2015 AMRF – one optional withdrawal each year to max 4% of fund value ARF – compulsory 4% withdrawal from fund over the year – doesn’t have
to be in one withdrawal.
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Pensions Update
Maximum salary for pension funding is now €115,000 – tax relief still available at marginal rate.
Overall personal lifetime lump sum available tax free is €200,000, next €300,00 at 20% and anything above this at 40% (>€500,000)
Tax relief currently at marginal rate
Standard Fund Threshold €2 million with effect from 1st January 2014, unchanged for 2015
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Pensions Update
State Pension:
Transition Pension from 65 abolished
Contributory Pension from 66• €11,976 per annum ( single )
Retirement age has been extended to:• 66 from 2014
• 67 from 2021
• 68 from 2028
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Eligibility
Employees are given immediate access to the PRSA on joining NUI Galway
Scheme is voluntary. Employee only contributions
New Ireland notified of new entrants to arrange a 1:1 meeting with them
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PRSA Scheme
Company Normal Retirement Date 65
Retirement for PRSA is any age between 60-75 years
Early retirement may be taken from age 50 if retiring from your employment
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Tax Relief On Pension Contributions
Salary €48,000
Employee Contribution €200 p.m. (5% of Salary)
20% tax 40% tax
Employee Monthly Contribution before Tax 200.00 200.00
Less Tax Relief on Employee Contribution 40.00 - 80.00
Net monthly cost to Employee 160.00 120.00
Total Contribution Invested 200.00 200.00
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PRSA Contributions
Age Limits Max PRSA Contributions*
Under 30 15%
30 to 39 20%
40 to 49 25%
50 to 54 30%
55 to 59 35%
60 + 40%
*Percentage of your pay that you can contribute to your PRSA and obtain tax relief
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What happens if You Leave
You can take your Investment with you
(Please ask your advisor before you decide to ensure it is in your
best interest)
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What do I get at Retirement?
25% of fund tax free
Balance as*
- ARF / AMRF - Open Market Option
- Annuity ( via ARF ) - Open Market Option
- Taxable Cash
*Balance of retirement fund can invest in an ARF if guaranteed income of €12,700 or €63,500 invested in an AMRF
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Investment Choice
Investment Ezine: 16 available funds for Investment
Standard PRSA Investment Ezine
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Investment Choice
Lifestyle Option Individual Retirement Investment Service (IRIS) Passive IRIS Indexed Euro-zone Long Bond Fund
Low Risk Funds Pension Cash Fund
Medium Risk Funds Pension Gilt Fund Pension Income and Growth Fund
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Investment Choice cont..
Medium to High Risk Pension Funds
Pension Evergreen Fund Pension Managed Fund Pension Consensus Fund Pension Ethical Managed Fund KBI Pension Managed Fund
High Risk Funds Pension Equity Fund Pension International Equity Fund Indexed all Equity World Indexed Hedged Fund World Indexed Unhedged Fund
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Investment Strategy
Lifestyle Approach
The longer the term is to retirement, the higher the proportion invested in equities
As retirement approaches, income is secured by switching into Fixed Income Assets/Cash
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Active IRIS: Moving to safer assets as you get older
Active IRIS
Absolute ReturnEquities Bonds / Cash
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Communication
Every 6 months:
Statement of Account & Investment Report
Every year:
Statement of Reasonable Projection
Ongoing:
Online Service Available - go to New Ireland’s website
http://www.newireland.ie/ and click on Pensions Online
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Pension Schemes Online is a secure, password-protected website from New Ireland Assurance where you can view up-to-date information on Pension holdings, including contributions paid to date, fund values and choice of funds. It forms part of our on-going effort to provide our customers with the best service possible.
Access to Pension Schemes Online is available 24 hours Monday to Saturday and 8am to 6pm on Sunday. Note Online Transactions are available from 8am to 8pm, Monday to Saturday.
Recently viewed members
To access Pension Schemes Online, please input the following data:
Pension Schemes Online
New Ireland Assurance Company plc is regulated by the Central Bank of Ireland. Member of Bank of Ireland Group. © New Ireland Assurance 2007
Glossary FAQ Contact UsTerms and Conditions Privacy Statement
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To activate your account, please click here
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28
Site Search
G005000AScheme No:
View Further Details
Bank of Ireland group avc scheme
Schedule of Fund Values
Fund NameCurrent Fund
Value(€)No. of Units
Consensus Iris 2050 17,520.00 0.61100 10,704.72
Trilogy II 76,144.00 0.68900 52,463.22
Total 63,170.94
Unit Price
Employer(%)Current Fund Selection
Member(%) AVC(%)
Consensus Iris 2050
Trilogy II
Evergreen
25 25
20
30
75
0
25
50
50
Contributions
Total 100100 100
Funds Values
This value is based on unit prices as at 10 Jan 2012.
These figures are based on the latest information available to New Ireland Assurance. Adjustments may be required to take into account any contributions over or underpaid by your employer. Please contact your scheme contact to advise of any updates.
These funds may be affected by changes in currency exchange rates. The value of your investment may go down as well as up. Past performance is not a reliable guide to future performance.
Consensus Iris
Trilogy II
J Smyth Group Retirement PlanScheme Name: Bridie McGrathMember Name:
J Smyth Group Retirement PlanScheme Name:
New Ireland Assurance Company plc is regulated by the Central Bank of Ireland. Member of Bank of Ireland Group. © New Ireland Assurance 2007
Terms and Conditions Privacy Statement
View Member Fund Value Report Close X
Print Page
Bridie McGrath (1234567A) My Downloads My Profile Logout5
Pension Calculator
Useful Links
My Dashboard
Glossary FAQ Contact UsAbout Us
Email your scheme administrator
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Summary
State Retirement age increasing
Living longer in retirement
Earlier you start the better
Marginal rate tax relief on Employee contributions
Currently the State old Age Contributory Pension is €230.30 per week.
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Next Steps
Talk to Noel Hackett
Consider paying into a PRSA
Review Investment fund/s• If you don’t select / haven’t selected a fund contributions will be
invested in the IRIS Fund
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Thank youFor further information please contact
NOEL HACKETT QFA
New Ireland Assurance
Atlanta House
36 Dominick Street
Galway
Tel: M 086-8186163 O 091-563023
Email: [email protected]
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Compliance Notice
This presentation if of a general nature and should not be relied upon without seeking additional information. Terms and conditions apply. All opinions and estimates constitute best judgement and are subject to change.
New Ireland Assurance Company plc is regulated by the Central Bank of Ireland and is a member of the Bank of Ireland Group.
Warning: The value of your investment may go down as well as up.Warning: The funds may be affected by changes in currency exchange rates.Warning: Past performance is not a reliable guide to future performance.