PRSA Broker after Leaving A Job

Info_Seeker

Hi Folks,

My company (currently) don't have pension benefit. They facilitate PRSA (without employer contribution) - as required by law. The broker assigned to open PRSA account and have pension deduction at source is extremely slow and incompetent. I don't have choice, I will have to deal with this broker for now.

I am wondering what will happen after I leave this employer: will I have to deal with the same broker? 

If yes, are there any fees to the broker other than AMC (the broker said my employer pay them to manage PRSAs for them)?

Thanks!

Jim2007

Well what do you mean by slow and incompetent? The pension industry by nature is slow and the broker at the end of the chain does not have many options to speed things up. As for incompetent, have they given you bad advice recommended an approach that is not meeting the benchmark or what?

SuperBowserWorld

I think by law you can have your own PRSA and your own broker. You don't have to use the company one, but if they are paying the management fee and transferring directly from salary then it's probably the easiest solution at the moment. You should probably be on the default investment strategy, if you don't intend to actively manage your funds. This will transfer money from high risk to low risk funds as you age.

But call the broker they the company is paying ... they should provide some kind of "free" advice and information on your PRSA. Don't be afraid to do this if you are worried.

There can be delays, e.g. of a month or so, from salary going from your account into your PRSA. Watch all of this and make sure it's happening.

It should be clear what the fees are. You should get a printed PRSA statement once or twice a year.

It's portable, so it stays with you.

You can have stop contributing to one, and open another one with a different broker. You can merge them as far as I know. You can transfer them to different providers.

If you chose a different broker, or pay a lump sum, you may end up with a new PRSA policy. This is because a new contract and conditions have to be created. This is my understanding and my experience.

I've a few PRSA policies over several years from different brokers and from paying lump sums/additional voluntary contributions. They are with Zurich and I can look at them all online easily and see all payments made and current fund values.

One more thing, you can't withdraw money tax free from a PRSA until you are 60. It's different with other kinds of pensions.

Info_Seeker

https://www.boards.ie/discussion/comment/122648316#Comment_122648316

They proposed a fund which is not available as standard PRSA. This was surfaced after three weeks and after a few follow ups…

Jim2007

https://www.boards.ie/discussion/comment/122649070#Comment_122649070

People make mistakes it's a fact of life. Who did they deal with it and what was the financial consequences to you.

Henry Ford III

https://www.boards.ie/discussion/comment/122649070#Comment_122649070

Nothing stopping you doing your own PRSA with whomever you wish.

All PRSA funds are approved and are available to everybody.

The J Stands for Jay

Non-standard PRSAs aren't exactly unusual. I think there are some mainstream providers who don't offer any standard PRSAs