Transcript NUI GALWAY PRSA NUI Galway Group PRSA Scheme Personal Retirement Savings Account -suitable for non-pensionable employees Noel Hackett QFA New Ireland Assurance Atlanta House 36

NUI GALWAY PRSA
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]
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3rd March 2015
Index
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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)
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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:
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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:
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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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Charges
 5% Contribution Charge
 1% Annual Fund Management Charge
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Tax Benefits
 Tax Savings on contributions
 Tax Free Investment
 Tax Free Lump Sum at Retirement
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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
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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
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The longer the term is to retirement, the higher the proportion invested in
equities
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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
Equities
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Absolute Return
Bonds / Cash
IRIS Glide Path – Default Fund
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Passive IRIS Glide Path
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Communication
Every 6 months:

Statement of Account & Investment Report
Every year:

Statement of Reasonable Projection
Ongoing:
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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
Welcome
Recently viewed members
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.
Login
To access Pension Schemes Online, please input the following data:
Username
Submit
Password
Forgotten your password
First time users:
To activate your account, please click here
Login Guide
Technical Requirements
Terms and Conditions
Privacy Statement
New Ireland Assurance Company plc is regulated by the Central Bank of Ireland. Member of Bank of Ireland Group.
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Glossary
FAQ
About Us
© New Ireland Assurance 2007
Contact Us
Site Search
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Bridie McGrath (1234567A)
My Dashboard
Pension Calculator
Scheme Name:
J Smyth Group Retirement Plan
Scheme No:
My Downloads
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Bridie McGrath
Schedule of Fund Values
No. of
Units
Unit
Price
Current Fund
Value(€)
Consensus Iris 2050
17,520.00
0.61100
10,704.72
Trilogy II
76,144.00
0.68900
52,463.22
Fund Name
Useful Links
Total
Contributions
Consensus Iris
Employer(%)
Member(%)
AVC(%)
Consensus Iris 2050
25
25
50
Trilogy II
75
25
20
0
50
30
100
100
100
Total
Trilogy II
63,170.94
Current Fund Selection
Evergreen
View
Further
Details
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.
Print Page
Terms and Conditions
Email your scheme administrator
Privacy Statement
New Ireland Assurance Company plc is regulated by the Central Bank of Ireland. Member of Bank of Ireland Group.
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Glossary
FAQ
About Us
© New Ireland Assurance 2007
Contact Us
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 you
For 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.
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.
New Ireland Assurance Company plc is regulated by the Central Bank of Ireland and is a member of the Bank of Ireland Group.
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