A PRSA is a long-term investment that aims to help you build up a pot of money that you can use to provide an income for yourself when you retire. The value of the benefits payable to you depends on the level of contributions you have paid and the investment return achieved from the funds in your PRSA. There are two types of PRSA available. A Standard PRSA is a contract that has a maximum charge of 5% on the contributions paid and 1% per annum on the assets under management. A Non-Standard PRSA is a contract that does not have maximum limits on charges.

Who can take out a PRSA?

PRSAs are available to you regardless of your job or employment status. You can get a PRSA if you are a part-time or casual employee, a highly paid professional, self-employed, a homemaker, a carer, a jobseeker, a contractor, an employer, an employee or a partner in a partnership.

You can continue to contribute to a PRSA after you retire, as long as you are not aged 75 or over.

What are the benefits of a PRSA?

  • PRSAs are flexible, as you can increase, decrease or stop your contributions at any time without any charge or penalty.
  • PRSAs are portable; you can carry your PRSA from job to job or transfer it to another PRSA provider without any charge or penalty.
  • PRSAs give you more choices at retirement.
  • As a PRSA holder, you will receive regular information to allow you to monitor its performance and its suitability to your needs.

When you retire

You can normally take a benefit from a PRSA when aged between 60 and 75. In certain circumstances you can take your benefits before then such as:

  • On retirement from employment at age 50 or over, or
  • At any time in the event of serious ill health.

In the case of retirement due to serious ill health you must be very ill and be deemed to be permanently unable to work.

The amount of your benefit will depend on the level of contributions paid and the investment returned earned. On retirement you can choose to take up to 25% of your retirement fund as a tax-free cash lump sum (subject to a lifetime limit of €200,000).

With the remainder of your PRSA fund, you can:

  • Use the balance to buy an annuity, or
  • Leave the funds in the PRSA and withdraw from them at any time, subject to the Revenue requirements for Approved Minimum Retirement Funds (AMRFs) / Approved Retirement Funds (ARFs), or
  • Transfer the balance to an ARF.

Important information about tax

When we talk about tax, what we say is based on our understanding of current law and tax practice. If there are any changes to law and tax practice in the future they could affect how much your plan is worth and your tax liability. Your plan could also be affected by changes in your personal circumstances.

What’s your commitment

With a PRSA from Aviva you’re committed to:

Making either one single payment or making minimum monthly or yearly payments until your retirement date.
Using the majority of your pension fund to provide an income or invest it in an ARF when you decide to retire.
Investing for the long term; you won't be able to access your pension fund until you retire.

Warning: The value of your investment may go down as well as up.
Warning: If you invest in this product you may lose some or all of the money you invest.
Warning: Past performance is not a reliable guide to future performance.
Warning: This product may be affected by changes in currency exchange rates.
Warning: Withdrawals and switches from funds investing directly or indirectly in property may be deferred for up to 6 months.
Warning: Withdrawals and switches from all other funds may be deferred for up to 3 months.

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