Last Minute AVC

Phil53

Hi All. I am retiring from the Public Sector at the end of February. I have a shortfall in my lump sum of approximately 27,000k and i am looking to invest in an AVC prior to retirement.

My union has an association with Cornmarket and i have looked at Marsh also. I am not a fan of a % of my money taken by these pension providers - I would like your feedback on reputable alternatives.

Many thanks,

Philip.

nohow

You should shop around for a quote and pay attention to the managment charges etc.Brokers are the best advisors as they know the markets and can search all companys

Mac50

I agree with nohow; Brokers normally have access to most providers. i recently retired and used a brokerage called Eolas Money to set up a last min AVC for me. I was charged a set fee of €375 and he called to my home. For home visits and advice, I though the fee was very reasonable! No charges with fund chosen as I used a cash fund and I received all my money back. Best of luck with it.

ravima

is there any point in taking out AVC now, if retiring in Feb? Are they not like pensions, where you are hoping for growth over the longer period and there won't be much growth in a month.

A New earth

You get tax relief on the AVC and then get full amount back when you retire the following month

Phil53

NOt looking for any growth here, that would mean risk and i want to avoid that. Its all about the tax relief at this stage and I have only one chance left to claim a large chunk of last years taxes back....

homer911

Yes, max out whatever you can to top up your lump sum and put it into a cash fund. Even get a short term personal loan if you have to..

Phil53

Looks like I had over estimated my potential for tax free cash.. As I am retiring before my normal retirement age, a calculation based on potential and my actual service is factored in. Therefore, my potential for extra lump sum was restricted. Following Mac50 reply, i took advice from advisory company Eolas Money so thankfully I didn't go with my own calculations.. I paid a fee of €375 for advice and set up of AVC. like Mac50, knowledgable guy and pleasant to deal with but grateful for the advice more than anything.

Mac50

Well done Philip. Enjoy retiremnet now!

Roisin O

We used the services of Eolas Money as recommended in the post and we found them extremely knowledgeable & efficient. I rang their office and explained our circumstances of short service etc. and we got a very good understanding of why an AVC is used and how they facilitate this. Their fee for advise and set up is €450 based on 3 hours of their time - I found this explanation to be very clear and obviously, transparent and their advise was not driven by the more I pay in, the more they get paid model!! They use Zurich Life to hold AVC money and they receive a small fee too.. but again, advised of early in the process!
After we had sent all the requested paperwork to Jim, we met him to go through all the figures and get the paperwork signed!
About 4 weeks after retirement, the AVC cheque was received from Zurich Life so all is all, the full process took approx 7 weeks.
I am not overly familiar with the tax system so I got help with processing the tax refund claim which was a little daunting for me!
All is all, a very professional service and happy to recommend - hense my 1st post here :-)

Kat1170

ravima wrote: »

is there any point in taking out AVC now, if retiring in Feb? Are they not like pensions, where you are hoping for growth over the longer period and there won't be much growth in a month.

My reading of it is that is the difference between an AVC (longer term, risk) and a Last Minute AVC (Done just before retirement, so short term, no risk)

lob020

If anyone is interested ,I have taken out a last minute AVC Zurich thru Lyons Financial Services-excellent service and much cheaper than Eolas