How to pick a pension fund?

With so many options out there, it can be overwhelming to choose a pension fund. Before making your decision, a couple of elements need to be taken into account.

If you are looking for a personal pension, fortunately, you have many investment options. However, it can be confusing to choose between them.

Here is what you need to do before choosing a pension plan: 

1. Research your pension fund options

First of all, you need to take your time to get as much relevant information as possible. Even though there is a huge amount of information online, it’s always a great idea to look at what’s there and form your own opinion. For instance, you can compare Irish providers, look at different pension options, use a pension calculator, etc. 

For more detailed information, we would highly recommend talking to a financial advisor. They have more knowledge and expertise and will make the process easier for you. 

2. Find a pension fund that you can afford

Once you start a pension, you will need to make regular contributions to your pot. In some cases, there is a minimum amount of money that you need to invest every year. Therefore, if you have a smaller budget, you need to make sure that your contributions won’t drastically affect your daily life and allow you to save money. Before choosing your pension fund, you need to know exactly how much you will pay (monthly/yearly) and when.

Also, when you are part of a pension scheme, you need to pay charges.  So you need to be aware of all the charges and if they fit your budget. Those charges include administration fees, transfer charges, penalties if you miss a payment or take your pension earlier than expected. 

Another element to take into account when you pick a pension fund is the level of risk that you will take. Indeed, the final value of your pension will not only be determined by your contributions but also by how your money grew over time. And this depends on the risk level of the pension scheme that you choose. You can learn more about this here. Before making your decision, you need to look at the risks and benefits of each plan and make sure you are happy with them. 

    3. Get advice from a qualified financial advisor

    Choosing a pension fund is a very important step in preparing for your retirement. You need to be assured that the pension plan you choose is to your best advantage. A financial advisor will assess your situation, find the best solution for you and guide you along the way. 

    At Greenway, our qualified financial advisors provide clear and constructive advice about pensions. We assess your situation and help you find the best pension plan. You can get in touch directly with a financial advisor by calling 01 853 2727. If you want to let us know more about your situation and be called back, feel free to fill in the contact form here.

    Pension funds available in Ireland

    PRSA (Personal Retirement Savings Account) is a personal pension, that lets you save money for retirement on your own terms. It’s one of the most flexible and accommodating pension options. You can make contributions and stop them whenever you’d like. Plus, if you change jobs, the pension stays with you.

    Personal Retirement Bond is a type of pension plan that will allow you to take your pension benefits with you once you leave the scheme. As a member, you can manage how your money is invested, but you can’t make any more contributions to it.

    Executive Pension or Director Pension is a pension designed for company directors and business owners in Ireland. Director’s Pension For Business Owners. 

    Personal Pensions are suited to more experienced investors than PRSAs. They allow you to choose from a wider range of funds, and to control and manage your investing.

    How we can help you choose your pension fund

    • Help you set up a pension for free
    • Review your old pension and help you change if necessary
    • Check your current pension and see if they are at your best advantage
    • Evaluate if you can invest more money for your retirement
    • Help you turn your pension into income at retirement.

    Greenway Financial Advisors Limited is regulated by the Central Bank of Ireland. Registered No. C168372

    Debbie Cheevers

    Debbie Cheevers

    Qualified Financial Advisor

    Debbie was born in Dublin and graduated from NCAD with a degree in Visual Communication. She brings a strong customer services background to Greenway.

    Debbie qualified as APA in 2017 and a fully qualified financial advisor (QFA) in 2018.

    She believes that product knowledge is key to helping customers make the right choices.