Pension question: Do Employer Contributions count to max AVC Tax relief?

Hi,

Was hoping someone here could clarify something for me. I'm 27 years old and am paying into an employer pension scheme. I am currently contributing 5% of my gross salary. My employers match and double my contributions, so for every €1 I contribute my employer will contribute a further €2.
My contributions are taxed at source by payroll.

I've been thinking about making AVC's into my pension, as 5% is the maximum that my company will match and double. According to the Citizens Information, the maximum I can contribute while still receiving tax relief based on my age is 15% of my gross salary.

My question is this: since I am contributing only 5% out of my own gross pay, can I still get tax relief on AVC's up to a further 10%? Or am I already considered to be contributing 15% of my salary (since my employer is putting in 10% extra on top of my 5%), and thus any AVC I contribute will not get any tax relief?

Hope the above makes sense, appreciate any response.

wench

Is it an occupational pension or a prsa?

For an occ pension, only your contribution counts to the limits, so you can add another 10%.
For a prsa, the employer's contributions count towards the total limit, so you'd already be maxed out.

Thanks for the reply, it's an occupation scheme, not a PRSA.
So under current system I could contribute up to 10% more and still get tax relief then? Good to know.

Ace2007

Deleted User wrote: »

Thanks for the reply, it's an occupation scheme, not a PRSA.
So under current system I could contribute up to 10% more and still get tax relief then? Good to know.

you could possible make more than 10% - depends on what the definition of pensionable salary is for your basic 5%. AVC allow for all earnings not just Basic.