Introducing the new name in self-directed pensionsFebruary 2, 2023
Finance Act 2022 was signed into law on the 15th December 2022.
From a PRSA perspective it makes the following significant changes:
- There is no longer a BIK implication for employer contributions to a PRSA. From 1st January 2023 employers can make unlimited BIK free contributions to a PRSA for an employee or director.
- Employer PRSA contributions will not be limited by salary, service, marital status, existing scheme funding or retained benefits, so no funding calculations required.
Other pension changes
- Lump sums taken by Irish residents from any foreign pension arrangement now count against the €200,000 tax free and €300,000 taxed @ 20% pension lump sum limits.
- Tax reliefs and benefits in respect of PEPPs will work in the same way as PRSA
Please contact your dedicated Wealth Options Ltd Business Development Manager to discuss the opportunities that this could present you and your clients.
Please note that the provision of this service by Quest Retirement Solutions Ltd does not require licensing, authorisation or registration by the Central Bank and, as a result, it is not covered by the Central Bank’s requirements designed to protect consumers or by a statutory compensation scheme.