As you get closer to retirement, it’s important to start thinking about how your pension fund can support you and your family’s needs in the years ahead. Part of your decision is deciding whether you’d like your pension to provide you with a regular income in retirement (annuity) or to invest in an Approved Retirement Fund (ARF), which allows you to keep your money invested and withdraw whenever you need it. It’s also important to think about how any remaining funds should be passed on to your dependants in the future.
What you do with your pension plan depends on your employment status and the type of pension plans you have. Depending on your circumstances, there are different options for you to consider.
Your options
Most people choose to take a tax-free retirement lump sum of up to €200,000 (subject to Revenue rules) and then use the balance to:
- Purchase an Annuity– a guaranteed income for the rest of your life, or
- Invest in an Approved Retirement Fund (ARF)– your funds stay invested and you can withdraw money as you need, or
- Take a taxable lump sum.
The right option for you depends on:
- The size of your pension fund
- The income you and your spouse/civil partner/dependants will need during your retirement years
- If you have other assets you can rely on apart from your retirement fund
- Whether you prefer investment growth or security during your retirement years
- Whether you wish to pass your retirement fund on to your dependants
- Your health
To learn more about your options, download our Retirement Options Brochure.
I’m ready to retire
With Ready Retire, you can now submit your retirement claim through our customer portal, mynewireland, in just a few quick steps. Throughout your online retirement claim, you’ll be guided from start to finish, saving you time and creating a simple and stress-free experience.
If you are a Bank of Ireland Life customer, you can also use Ready Retire through mynewireland to submit your retirement claim. Bank of Ireland Life is a trading name of New Ireland, so it’s all the one company.
For more information, please visit our Frequently Asked Questions.