AVC Pensions

Additional Voluntary Contributions (AVCs) are a simple and tax-efficient way for pension scheme members to save for their retirement. AVCs are extra contributions made by members of group pension schemes in order to increase their benefits when they retire. These pension contributions that are made while working get full tax relief (within Revenue limits).

Irish Life Corporate Business has a vast level of experience of AVC pensions and is the clear market leader in this area. Members of group schemes who make AVCs get a detailed annual pension benefit statement of value and transactions. They also have access to our online facility, Pension Planet Interactive, and our interactive phone service, Pension Phone. These services enable members to check their current pension fund value at any time.

Reasons for members of a company pension plan to make AVCs

• AVCs get tax relief at the member's top rate of tax, up to certain limits.
• Regular contributions from the member's payroll get this relief at source, making it completely hassle free. Tax can be claimed back from the Revenue for once-off payments by cheque.
• Investment growth is also tax-free.
• The member will have a larger retirement fund built up when they retire, which can be used to increase their benefits in any of several ways, within Revenue limits;
  1. Regular updates, every six months, to employees giving the retirement fund value, projected value and an investment performance report.
  2. Increase their tax free lump sum on retirement, or put the AVC pension fund towards their tax free lump sum and avoid reducing other annual pension benefits.
  3. Provide or increase dependant's pension.
  4. Invest their AVC pension fund in an Approved Retirement Fund (ARF).

AVC pension documents

• AVC pension member booklet
• AVC pension - a quick guide
• Top up your pension and get tax back with AVCs
• AVC Pension Administrator Guide
• And for more documets click here