Glossary

Pensions

Additional Superannuation Contribution (ASC): A contribution deducted from public servants' pay towards their pensions.
Additional voluntary contributions (AVCs): Extra contributions on top of your workplace pension, with the same tax relief.
ARF: Approved Retirement Fund: an investment account for your pension after retirement, instead of buying an annuity.
Auto-enrolment: The workplace pension scheme employees are automatically joined to from 2026 if they have no pension.
Employer match: An employer contribution that matches what you pay, up to a set level.
Employer pension contribution: What your employer pays into your pension, usually free of tax for you.
Occupational pension: A pension scheme set up by your employer.
Pension earnings cap: Pension tax relief only applies to contributions on earnings up to €115,000 a year.
Pension gap: The difference between the retirement income you'll have and the income you want.
Pension tax relief: Your pension contributions come off your income before income tax, so they cost less than they seem.
PRSA: Personal Retirement Savings Account: a portable personal pension.
Relief at source (net pay): Pension contributions deducted through payroll before tax, so you get the relief straight away.
Retirement annuity contract (RAC): A personal pension for the self-employed and those without a workplace scheme.
Retirement lump sum: The part of your pension you can take as cash at retirement, the first €200,000 tax-free.
Salary sacrifice into a pension: Giving up some salary in return for an employer pension contribution.