New funding standards proposals for defined benefit pension schemes may force trustees to “dramatically cut benefits” or even wind them up altogether, The Sunday Business Post reports.
Posts Tagged ‘Pensions’
The 0.6% pensions levy is continuing to provide ample headlines with attention now turning on how people might be able to soften the blow, pending a likely legal challenge to the constitutionality of the measure.
It would appear the campaign against the levy is beginning to gain real momentum, according to The Sunday Times, which devotes a full page to the issue.
Compulsory pensions are back on the Government agenda, according to a report in The Sunday Times.
Joan Burton, the minister for social protection, told a conference during the week the Government wanted to give middle-income earners an incentive to save for retirement.
Lawyers and actuaries are busy advising clients how to mitigate or even avoid the 0.6% pension levy according to Jill Kerby in The Sunday Times, who is telling people with private pensions to ask their trustees, administrators or advisers about the effect of the levy on their projected incomes in retirement.
In addition to the recent imposition of the Pension Levy, the Finance Bill 2011 reduced the maximum pension fund size. The maximum allowable pension fund on retirement for tax purposes (known as the Standard Fund Threshold (SFT)), has been reduced from €5.4 million to €2.3 million.