Lifestyle PRSA - Let's keep things simple
Tell me more about the KBC Lifestyle PRSA
How is my money invested?
Your money is invested to suit your life stage. If you’ve a while to go to retirement, your money is invested in higher risk assets for potentially higher returns. But as you move closer to retirement, we move your money into lower risk options. We call this ‘MyAutoinvest’.
Keep on track with your phone
Control everything with a tap in app. Set your retirement goal and track it. Check in on your fund balance or pension performance any time.
You can even make additional top-ups, increase, decrease or even pause your contributions.
The app is also home to all of your documents, including your 6-monthly and annual statements.
How do I make the most of my tax savings?
You can claim tax relief on your contributions at your current rate of income tax. It’s worth noting that the maximum contributions you can claim tax on depend on your age. This table is a handy guide.
||% of Net Relevant Earnings
|30 - 39
|60 and over
When calculating tax relief, there’s a maximum earning of €115,000 per year that can be taken into account.
Please note: contribution tax relief isn’t automatically guaranteed and is determined by the Revenue Commissioners, not KBC.
What happens when I retire?
Most people draw down their pension between 60 and 75 (there are some early retirement exceptions based on ill health or certain occupations). You can take up to 25% of your pension fund as a lump sum and up to €200,000 of this lump sum may be tax free (subject to overall Revenue limits). This handy table explains what happens for different amounts.
|Up to €200,000
|€200,001 to €500,000
||Standard rate of 20%
||Your marginal rate of tax and subject to USC.
You may have a number of other options available so when the time comes, we’ll help you decide what works for you.
Key features of MyAutoinvest
- This is our Default Investment Strategy which means you can focus on just saving for your retirement while we make the investment decisions.
- MyAutoinvest is personal to you - we tailor our lifestyle investment strategy specific to your exact chosen retirement date.
- We don’t believe in a one-size-fits-all approach which is why we challenge the market standard of de-risking solely by age.
- We believe a 40 year old wishing to retire at 60, shouldn’t be invested the same as a 40 year old wishing to retire at 75, as this doesn’t prioritise you – the customer.
- We protect you by moving your investment from equities to bonds and cash each month as you move towards your chosen retirement age.
- We rebalance your fund every month to ensure you’re correctly invested as per your term to retirement.
How are my contributions invested?
Where do my contributions go?
How we allocate your contributions across our underlying funds is driven by how long you have to go until your chosen retirement date.
How many units do I buy?
How many units we buy on your behalf depends on how much you’re contributing and the cost of those units.
How is my fund valued?
The value at any point in time is equal to the total number of units you have in each underlying fund, multiplied by each unit price on that date. The value can go up and down over time.
What are the underlying funds that make up MyAutoinvest?
- MyAutoinvest equity funds:
- Plato Institutional Index Fund World
- Plato Institutional Index Fund Emerging Market
- MyAutoinvest bond funds:
- KBC Institutional Fund Euro Bonds
- KBC Institutional Fund Euro Corporate Bonds
- MyAutoinvest cash funds:
- KBC Participation SRI Cash Plus
- KBC Multi Interest Cash 5 Month Duration
- KBC Multi Interest SRI Cash 3 Month Duration
- KBC Multi Interest SRI Cash 4 Month Duration
Tell me about the charges
The overall ongoing charge, or fund management fee, is 0.9% of the value of your PRSA per year. It’s calculated on a daily basis and it’s reflected in your fund value.
The individual sub funds that make up MyAutoinvest have their own charges, but these and administration charges are already included in the 0.9%.
There’s also a contribution charge of 2.5% on each contribution made. However, the good news is that this doesn’t apply to pension transfers into your KBC Lifestyle PRSA.
Pensions can seem complex, but they don’t have to be. We’ve answered some of the most-asked questions to make your retirement planning that little bit easier.
Check out our Pensions 101 guide for the ultimate crash course! Then have a look at our Pensions Journey Roadmap and our Help Hub for useful resources like videos and blogs.