r/irishpersonalfinance Sep 21 '21

What age are you, and how much is in your pension(s)? Retirement

With pensions in the news, I thought this would be an interesting discussion.

I am 30, and have 1 pension that currently contains €62,399.

I currently contribute 15% and my employer contributes 6%. Come January, I will up my contribution to 20%. I would have 2 pensions, but I merged them as my current one has much lower fees. My pension is 100% in Indexed Global Equity.

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u/Plenty_Vegetable7263 Sep 21 '21

I'm 35. Started contributing to pension at about 30. Fund is currently at 37K (50% World Equity Fund, and 50% in a more conservative mixed fund).

A few years back I was contributing about 10%, but now reduced to only 5% as I'm trying to save for a house deposit, and also I get the max employer match of 5%.

If/when we're able to purchase the house, I'll probably contribute 10% again + 5% from employer.

I'm impressed by the pension pots some of you managed to build over the years, and some of the employer contributions are really generous. In my experience, 3-5% max contribution from employer has been the norm.

Pensions are a great tool to invest long-term as we get employer contribution + money is invested pre-tax. This is a no-brainer. But I also like to diversify and not put it all into one pot.

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u/0mad Sep 21 '21

Yes, sign me up for one of these 12%-15% matches.

What other pots have you got?

3

u/Plenty_Vegetable7263 Sep 24 '21

I've another pension fund in another country where I previously worked. I don't contribute to it anymore, but it keeps growing each year and does its thing.

I've also invested over the years in individual stocks that I select based on their value/potential. I like the fact that I can decide which companies to buy and own.

Also, ideally I'd like to retire before I'm 65. So I like having more control over where I put my funds and how easily accessible they are. As I said, pension plan is a no brainer as money is invested pre-tax and we receive free money from the employer matching our contributions. But it also has drawbacks in my opinion (little control over the funds once invested, stuck until we're 65, and trust the fund managers won't mess around).

I also received equity in the company I work for which works well as a savings/retirement plan. Bought my apartment, so own "some" property (the bank owns it too 😂). That's about it :-)