IRELAND: Pension Boards chief Anne Maher has said she would like to see the Irish government invest more money into providing awareness for private pension provision.
Even though the government has provided the board with e1.5m over the last three years through the National Pensions Awareness Campaign (NPAC), Maher (pictured) said the board was still 11% behind its target for pensions coverage, although this had increased to 52.4% of the workforce.
“We would like more money of course but we think the government has a good understanding that voluntary pensions system has to be supported by awareness.
“You have got to get across the message to everybody that the social security pensions in Ireland avoids poverty but if you want to have a bit more than the basic survival of poverty then you have to put away your money.
“The tax incentives are very good but people don’t understand the tax system so well. That if you put in e100 with your pension scheme you are on the 42% tax rate - its very advantageous but it’s hard to get that across,” said Maher.
Research surveys show the NPAC has had a positive effect. The Pension Board Consumer Awareness Research Audits showed an increase in pensions and PRSA awareness rising from 60% at end 2003 to over 70% at the end of 2004.
This week's Pensions Buzz respondents were mostly in agreement that 10 weeks is an appropriate length of time to conduct a full DB to DC transfer.
In this week's Pensions Buzz, we want to know if you think Guy Opperman will stay in post as pensions and financial inclusion minister under the new prime minister.
The City and County of Swansea Local Government Pension Scheme (LGPS) will swap around a quarter of its assets to a low-carbon fund by the end of the month, it has announced.