Pensions Board prosecutes employer over failure to meet pensions obligations

Tuesday 11 September 2007: The Pensions Board successfully prosecuted Mr. Kevin Mulvey with an address at 37 Kilgarron Park, Enniskerry, Co. Wicklow for failure to comply with The Pensions Board requests for information in relation to his PRSA obligations as an employer.

Mr. Mulvey failed to comply with The Pensions Board’s request, made by notice in writing to furnish The Pensions Board with the names of all occupational pensions schemes established for the benefit of the employees of Mr. Kevin Mulvey, if any, and the criteria for membership of each such scheme, and/or a copy of the contract entered into by him with a PRSA provider.

A fine of €500 was imposed by the Court on the defendant.

The Pensions Board, as part of its regulatory role, supervises the activities of PRSA providers in relation to their approved products and monitors employers’ compliance with the legislation regarding PRSAs.

Commenting on the prosecution, the Chief Executive of The Pensions Board, Brendan Kennedy, said: “By 15 September 2003 all employers were required to have entered into a contract with a PRSA provider to allow access to at least one Standard PRSA to all “excluded employees” on and from that date. This requirement is a key component in the drive to increase private pension coverage in Ireland. The Board has a responsibility to enforce this mandatory access requirement and regards non-compliance as a serious matter.”

Please see Fact Sheet below.

-ENDS-


Notes:

About The Pensions Board
The Pensions Board is the statutory body set up to regulate occupational pension schemes and Personal Retirement Savings Accounts (PRSAs) and to advise the Minister for Social and Family Affairs, and through him, the Government, on overall pension policy development.

See www.pensionsboard.ie


For further information:

David Malone
Head of Information Services
The Pensions Board Tel (01) 613 1900

Aongus Horgan
Assistant Head of Information Services
The Pensions Board Tel (01) 613 1900

Jackie Gallagher
Q4 Public Relations Tel (01) 475 1444/ 087- 2371838

Fact Sheet

1. Mr. Kevin Mulvey with an address at 37 Kilgarron Park, Enniskerry, Co. Wicklow being an employer within the meaning of section 2 of the Pensions Act 1990 as amended (‘the Act’) failed to comply with The Pensions Board’s request, made by notice in writing to furnish The Pensions Board with information relating to matters described in section 18(2) of the Act and in particular:-

a. The names of all occupational pensions schemes established for the benefit of the employees of Mr. Kevin Mulvey ,if any , The Pensions Board reference number in respect of each such scheme and the criteria for membership of each such scheme; and/or

b. A copy of the contract entered into by Mr. Kevin Mulvey with a PRSA provider, if any, and a copy of the notification issued to employees in accordance with Section 121(2)(a) of the Pension Act 1990, as amended, informing them of their right to contribute to a standard PRSA; or

c. Confirmation of what action has been or is to be taken to fulfil the requirements of the Act in relation to “excluded employees”.

 
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About the Pension’s Calculator

  • This pension’s calculator is designed to give a broad indication of the level of contributions required to give your desired pension at your retirement age. This calculator only provides a sample indication of the funding contributions for your pension and no reliance should be placed on it.
  • This calculator does not take into account any contributions an employer might make to your pension.
  • Do you know that contributions paid to a pension scheme will benefit from income tax relief at your highest rate of income tax? This calculator takes into account current income tax relief benefits.
  • For a full and accurate assessment of your personal finances and any tax relief you may be entitled to on your pension contributions always consult with a professional financial adviser

The next step is to talk to your employer, trade union, bank, insurance company, building society or financial advisor about starting your pension today.

Pension Calculator Notes:
  1. Assumptions used: Investment return will be 5% per year before retirement and 4% per year after retirement. Salary will increase at 3% per year. Pension will increase at 2% per year in retirement. The State Pension will increase in line with salary increases. Spouse's annuity assumes a 3 year age gap between the Main Life and Spouse. Your personal illustration above makes an approximate allowance for the recently introduced Pensions Levy (i.e. 0.6% of your Fund Value) until 2014 or your intended retirement year if earlier.
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  5. Contributions or benefits may exceed limits prescribed by the Revenue. Your financial advisor will be able to help you to stay within your limits. Budget 2011, introduced a Standard Fund Threshold (SFT) of €2.3 million. Individuals with pension funds in excess of this value as at 7 December 2010 may apply for a Personal Fund Threshold(PFT). When the capital value of pension benefits drawn down by an individual exceed his or her SFT or PFT as appropriate, a tax charge of 41% is applied to the excess fund.
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  8. This calculator takes account of the fact that the State Pension (Transition) will no longer be paid from 1 January 2014. This means that there will then be a standard State Pension age of 66 years for everyone. If you have qualified for the State Pension Transition before 1 January 2014 you remain entitled to it for the duration of your claim (1 year). State pension age will increase to 67 in 2021 and to 68 in 2028