Group PRSA’s, now more than ever are an attractive alternative to Group Defined Contribution Schemes as a result of there being no employee BIK payable on employer contributions since 1st January 2016.
(Source www.revenue.ie/en/tax/usc/)
Benefits to Employer:
- There is no trustee requirement for Group PRSA’s.
- The company can contribute tax efficiently for individual employees.
- Additional death in service or Income protection schemes can operate tax efficiently alongside a Group PRSA.
Benefits to Employee:
- The employee can make contributions and get tax relief, as per current revenue guidelines.
- The growth of the fund will be exempt from growth taxes.
- The fund can be accessed anytime from age 60.
