Assumptions

• All values shown are in present day money terms, i.e. the calculations aim to take account of inflation between now and your retirement date.
• You are assumed to be eligible to receive the full State pension (Contributory) from your state pension age. The amount of the State pension (Contributory) is €15,044 per year (or €289.30 per week) from 1 January 2025, payable from age 66 to an individual qualifying for the maximum rate of the State Pension.
• The calculator assumes that your retirement fund pays an annual management charge of 1% per year. In addition, a 5% contribution charge is assumed to be paid on each regular contribution. These charges are assumed, based on the maximum charges permitted for ‘standard PRSAs’.
• Regular monthly contributions are assumed to continue to your retirement age and are assumed to increase by 3% per year over the term to your retirement date.
• Investment return is assumed to be 5.00% per year after expenses until 10 years before your retirement date. The investment return is then assumed to reduce annually to the post-retirement interest rate over the 10 year period prior to retirement. This is intended to reflect a common investment strategy of defined contribution pension scheme members and allows for a reduction in risk during the 10 year period leading up to retirement. The investment return earned on your fund is estimated to be 0.0% per year, on average, after expenses from now until your retirement date.
• The annuity rate used to calculate your pension at retirement is based on a combination of market annuity rates as at 1 November 2024 and a long term annuity rate using a post-retirement interest rate of 2.9% p.a. after expenses. Your pension is assumed to increase at 2% per year in retirement and is assumed to be guaranteed to be paid for a minimum of 5 years.
• The annuity rate used in the calculations is based on a combination of market annuity rates as at 1 November 2024 and a long term average rate. The actual annuity rate at retirement may differ from the annuity rate used in your illustration.
• The calculations assume a 50% spouse’s pension on death in retirement. You and your spouse are assumed to be the same age.
• Your existing pension arrangement (if any) permits benefits in line with those selected.
• If your earnings are less than €44,000, your marginal tax rate is assumed to be 20%. Alternatively, if you are earning more than €44,000 your marginal tax relief is assumed to be 40%.

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