All Employers are required by law to provide access to a pension for all employees whether they are in full-time, part-time, temporary, contract or casual employment. If there is no in-house scheme, or there are restrictions to entry, contribution amounts or benefits, then a Personal Retirement Savings Account (PRSA) must be offered by law. failure to comply is a criminal offence.
The Employer may contribute to the PRSA if they wish, but they are not obliged to do so. The employer must allow employees time to explore the PRSA and discuss their scheme with an advisor furing paid working hours.
Providing a Copmany pension or occupational pensions scheme is a tax-effective savings plan put in place by the employer to provide a retirement income for employees. The employee pays less PAYE and PRSI on their relevant earnings. The advantages for the employer is that the Employers PRSI is also reduced by up to 10.75% which more than covers the administration costs. It is therefore advantageous to the employer to encourage employees to plan towards their retirement by subscribing to their pension through their payroll. A useful pension calculator is available at www.pensionsboard.ie
Paycheck Plus now has an associate Qualified Financial Advisor who can help you set up a pension scheme for you and your employees. Contact Paycheck Plus today and we will arrange a meeting for you with our associate QFA who will advise you of the most suitable Pension Scheme for your business.