How much is average pension?

realdanbreen · 22-09-2024 8:28am #1

I know this is a very general question but how much is the average monthly pension for say a nurse,teacher, guard etc. I know there are many variables but how much would an average one be?

Quitelife · 22-09-2024 8:34am

was it the case public servants got half their salary as a guaranteed ie defined benefit pension at retirement age and one and half times their salary as a lump sum ?

So if your finishing work on 70k a year you get a pension of 35k a year guaranteed and 105k lump sum but you don’t get state pension like non public servants who are likely to have small if any pensions

realdanbreen · 22-09-2024 9:21am

https://www.boards.ie/discussion/comment/122641752#Comment_122641752

Thanks. I presume the lump sum is all taxable. 35k per year with no state pension for public servants seems a little harsh no?

beachhead · 22-09-2024 9:30am

lump sum shouldnt be taxable.civil pay a reduced prsi contribution but that might have corrected in the last few years.

average pension must mean per industry with c s being platinum plated once you get up the scales.

Quitelife · 22-09-2024 9:46am

https://www.boards.ie/discussion/comment/122641861#Comment_122641861

if you were one of the jobs like guards , prison officers etc I think you get it after 30 years which is a very solid pension for a long time which would have a value of 25 to 30 times 35K making 900k to 1 million of a pension fund which would be in the top quarter of pensions . Some public servants on here might know more

hello2020 · 22-09-2024 9:55am

https://www.boards.ie/discussion/comment/122641921#Comment_122641921

What about the late starters or if someone retiring due to bad health early? Does pension pass onto spouse upon death?

Tow · 22-09-2024 10:01am

Public Sector Pension are also index linked to the current salary for the job/grade, so increase over time.

Quitelife · 22-09-2024 10:34am

https://www.boards.ie/discussion/comment/122641971#Comment_122641971

that’s a huge benefit , public sector pensions would be better than 80% of private sector workers pensions and guaranteed as well so

combat14 · 22-09-2024 10:42am

https://www.boards.ie/discussion/comment/122641752#Comment_122641752

assuming one got full time contract straight away, didnt join profession later or leave earlier with actuarial reduction i.e. 40 years full time hours

Jim2007 · 22-09-2024 11:22am

https://www.boards.ie/discussion/comment/122641879#Comment_122641879

Once you get up the scales as you put it, private sector easily trumps the CS, between executive pensions, share options and allocations, bonuses, bonus pensions and so on.

Madeoface · 22-09-2024 11:27am

https://www.boards.ie/discussion/comment/122641752#Comment_122641752

Not true since about 2013. AFAIK it's a career average pension now across the board, not final salary. Plus state contributory cos full social insurance.

evillive · 22-09-2024 11:50am

https://www.boards.ie/discussion/comment/122642132#Comment_122642132

That's correct, it's call the Single Pension Scheme, it is index linked and unlikely to better pre 95/13 schemes

Put very simply and all subject to rules and regs

Pre 2013 on full service lump sum 1.5 * leaving salary and pension half salary made up of stat e pension and balance from employer, state pension part only receivable when you hit age

Pre 95 on full service lump sum 1.5 * salary and pension half salary claimable after 60 paid in full by employer

As far as I remember lump sum taxable for any balance over 200k

Geuze · 22-09-2024 2:58pm

Typical teachers pension for a class D contributor, with no State Pension, would be towards 40k gross.

This is for somebody who started teaching pre April 1995.

About 750 per week gross.

Geuze · 22-09-2024 2:59pm

https://www.boards.ie/discussion/comment/122641861#Comment_122641861

TFLS.

Pension lump sums up to 200k are not taxable.

This is why many staff do AVCs, to increase their TFLS.

Geuze · 22-09-2024 3:01pm

https://www.boards.ie/discussion/2058369967/how-much-is-average-pension

This formula applies to those hired pre April 1995:

Pension = (1/80) of final salary for each year worked

Lump-sum = (3/80) of final salary for each year worked

Teacher retires after 40 years on 80k.

Lump-sum = 120k tax free.

Pension = 40k.

BlueSkyDreams · 22-09-2024 3:03pm

https://www.boards.ie/discussion/comment/122641752#Comment_122641752

Is this the case today though?

if someone starts teaching in 2024, what would their pension plan look like?

Geuze · 22-09-2024 3:05pm

All public servants hired since 2013 are in the same scheme:

https://singlepensionscheme.gov.ie/

Vey similar to previous schemes EXCEPT it is based on career-average earnings, not final salary.

Here is the scheme booklet:

http://singlepensionscheme.gov.ie/wp-content/uploads/2022/11/Updated-Member-Booklet_ENG-NOV-2022.pdf

Geuze · 22-09-2024 3:08pm

Benefits under the SPSPS:

spuddy · 22-09-2024 5:17pm

Roughly speaking every €3-3.2k in income someone gets from a pension from the state, is worth approx. €100k. That's because it comes with 'escalation', i.e. it rises in line with inflation, and has benefits like 50% of the pension goes to your spouse on your passing etc.

So if you're getting a pension of €45k, less €14k for the state pension, the value of your €31k p.a. is about €1m.

crybaby · 22-09-2024 5:41pm

I totally get the question—there are so many factors involved! From what I've seen, nurses can typically get around $2,000 to $3,000 a month, depending on where they work. Teachers often fall in a similar range, but it can really vary by district. Security guards, on the other hand, usually have lower pensions, maybe around $1,500. I’ve talked to friends in these fields, and they always say it’s important to check out the specific pension plans because they can differ a lot.

Geuze · 22-09-2024 8:28pm

https://www.boards.ie/discussion/comment/122643416#Comment_122643416

This is an Irish website.

There are no school districts in Ireland, there is one national pay scale.

How much is average pension?

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