Transferring from company pension plan to PRSA?

jockey#1

If someone is leaving a job to start a new job as a independent contractor, what is the normal practice for leaving a company pension plan and starting say a PRSA. Is it best to contact an independent financial advisor and can they organise everything?

eagle_i

When leaving an employer simply request a ‘Leaving Service Options Statement’ from the adviser/administrator of your previous employer’s pension scheme. This will set out your options and the value of those options.

Transferring to a PRSA is possible but there are restrictions, a) if you were a member of the employer’s pension scheme for 15 years or more, and/or b) if the value of the fund is in excess of €10,000, then no you cannot bring the money across to a PRSA. This detail and other options will be set out in the options statement. So first off, request the options statement, then if you still feel unsure what to do seek independent financial advice.

jockey#1

Thanks for your reply. Person in question is only working there 6 years so that won't be a problem and I doubt the fund is over €10k especially as alot of funds have taken a hammering over the last year or two.

Will request that statement as a starting point. Thanks again.