Do you have a pension in Ireland?

Hoxton Blog • Do you have a pension in Ireland?

Retirement Planning

Are you aware that it is subject to up to 4.75% in annual charges and government levies?
Do you know that Irish expats have the option to transfer your Irish pension abroad?
Are you aware that you will avoid the charges and levies, as well as Irish income tax and death tax by transferring your Irish pension abroad?

That’s right. As an Irish expat, or even as a foreigner who worked in Ireland for more than 10 years, you have the option to transfer your Irish pension to a qualifying overseas pension scheme that meets Irish pension custodians’ standards – similar to the QROPS system for transferring a UK pension abroad.

Moving your Irish pension offshore has several benefits, including avoidance of the pension provider management charge (1-2% of total fund), the investment management fee (1-2% of total fund) and the government pension levy (0.75% of total fund). You will also avoid paying Irish income tax on your pension income, and Irish death taxes as it will no longer be a part of your Irish estate. You may also be able to cash out a lump sum of up to 30% of the fund value immediately. Finally, transferring your Irish pension internationally allows you to put your pension into a scheme you have more control over.

Irish expats can transfer their pensions to Malta, Australia, New Zealand, the Isle of Man or Gibraltar. You will no longer be subject to Irish taxes, instead you will be subject to the taxes of these countries, or the drawing country if you live in a 3rd country which has a Double Taxation Agreement (DTA) with one of these 5 countries.

A quick example for an Irish expat living in Spain, transferring his Irish pension to Malta:

Irish taxes & levies : nil

Maltese taxes & levies : nil, because Spain has a DTA with Malta.

Therefore the Irish expat would only pay Spanish income tax on his pension income.

The best fit would depend on the Double Taxation Agreements between the country that the Irish expatriate lives in and the receiving pension jurisdiction, as well as any rules surrounding their current pension scheme(s).

Taxation agreements can also change over time and it is best to contact a pension transfer specialist to find the optimal solution.

How Can We Help You?

If you would like to speak to one of our advisers, please get in touch today.

“The company was recommended to me, i first called the company and received a call back later the same day, from start to completing the pension transfer i had numerous video link calls with them and they really made the whole process easy and very understandable, nothing was an issue and the whole team where very knowledgeable and experienced, nothing was a problem for them, truly recommend there services, great work from all there team.”

P Wood

22, April

“Since December 2024 I have been working with Hoxton’s, primarily with Ellie Gracie on 3 investment vehicles. I opted out of the first as I considered it too risky, the second one has been set up in March and we are currently trying to close on another in the next few days. Ellie has been great. She is always ready to listen to my concerns and is prompt with her email responses. I would say that we work well as a team and I certainly listen to her advice. Long may it continue!!”

R Permanand

21, April

“good product knowledge, easy to contact.”

M Shaw

21, April

“Our advisor, Avi Shah is patient, knowledgeable and personable. He took time to get to know us and didn’t rush us into an agreement . He is proactive and available to chat when needed and has provided us excellent advice in our assets.”

C Field

25, March