YOU’VE PROBABLY BEEN hearing plenty of talk of the auto-enrolment scheme for pensions…

But if you’ve never really thought about your pension before, you might be wondering what it means for you. 

The auto-enrolment scheme is called My Future Fund and commences on 1 January, 2026. This means that if you’re aged between 23 and 60, earning over €20,000 a year, and you’re an employee without pension contributions being paid through payroll, you’ll be automatically ‘auto-enrolled’.

The scheme is designed to ensure that you have a robust pension plan in place to make your retirement years much easier. But what sort of changes can you expect to see on your payslip once you’ve been auto-enrolled? 

From the start of next year, you and your employer will each pay 1.5% of your salary towards a pension plan. That amount will increase every three years until you and your employer are paying 6% of your salary each into a pension savings scheme. These contributions are capped for salaries up to €80,000, meaning that the maximum you’ll ever be paying is €4,800 per year.

Choosing the kind of pension that’s right for you is a very personal and very important financial decision, which is why you need to seek out trusted professionals for advice. 

For example, there are limits to the auto-enrolment scheme. There is no option of paying in any more than the set contribution rate, and there is also no way to access the money you’ve earned until you’ve hit the state retirement age. The employee can opt out of My Future Fund after 6 months and receive a refund of their own contributions, however the employer and state contributions will remain Invested until you are aged 66. While auto-enrolment guarantees you a pension, it may not necessarily be the perfect pension solution for your specific needs.

Irish Life is encouraging anyone who hasn’t got their own pension plan set up to book an appointment to review their retirement needs and identify the most suitable retirement options for them. Irish Life has a team of financial advisors who are experts in pensions and have been advising Irish people for years.

While you might be thinking that your pension can wait, it’s important to remember that in a few short months, you will be contributing to a pension plan — so why not act today and get all the information you need and make sure that it’s the right one?

Visit Irish Life online today to book an appointment to get advice on your pension. 

Irish Life Financial Services Limited, trading as Irish Life, is regulated by the Central Bank of Ireland. Irish Life Financial Services is an insurance intermediary tied to Irish Life Assurance for life and pensions.