Members have many questions at the moment in relation to whether or not they should retire before or after 29th February 2012. In the coming weeks there will be advice seminars on this issue held around the country.

These seminars are organised by TUI and Cornmarket and experts in attendance will be in a position to give precise confidential advice based on individual circumstances.

Sophisticated software calculators will be available on the day to show you what it means for your income if you retire before, or after the end of February 2012.

These workshops should not be confused with TUI's pre-retirement training, which takes place at the Silver Springs Moran Hotel, Cork on Thursday 6th and Friday 7th October, 2011. Click here for details. 

Dates and locations are set out below. Individual one-on-one consultation and calculation sessions will take places directly after the main seminar.

It would be appreciated if members could indicate their intention of attending any of the remaining seminars by contacting Lesley Conville (lconville@tui.ie or 01 492 2588).

Members should bring along a payslip or P60 on the evening of the seminar for calculation purposes. 

                    ****Remaining dates****

Tuesday, 8th November
Waterford Institute of Technology
5.30pm - 7.30pm

Thursday, 10th November
Clarion Hotel, Dublin Airport
5.30pm - 7.30pm

Also there is  a Cornmarket helpline to give individual advice - the number is 01 4084162.

Retirement in 2011/12

• Should I retire now or before the 29th February or should I continue on?
   
• What difference will it make to my pension?
   
• Will the elimination of the PSPR (Public Service Pension Reduction) for those who retire on or after 1st March 2012 make a difference to my pension and lump sum if I wait?
   
• If I continue to the end of the school year and earn a further 6 months salary and get a further half year credit what effect will this have on my overall situation?
   

These are just some of the questions members are asking about retirement options.

Click here to download information that can be printed off on whether or not to retire (with working examples)


Croke Park agreement deadline approaching – should I go now?

Under the Croke Park Agreement extension, any teacher or lecturer who retires before the end of February 2012 will have their pension and tax-free lump sum based on their 2009 salary i.e. before the government reduced the Public Sector pay.

After this date (March 2012), any teacher or lecturer who retires will have their pension and Tax-Free Lump Sum based on their current reduced salary.

However, teachers and lecturers also need to take into account the pension reduction introduced by the government in the Finance Act 2011.

This pension reduction applies to all retired public sector employees including those who retire before the end of February 2012.

The average pension reduction is 4%.

Example: Mary retires after 34 years’ service on a salary of €65,000, paying PRSI at the lower D1 rate.

Retires 29th February 2012
(34 years service)
Salary €69,459 (pre cut amount)
Pension €28,332
Lump Sum €88,655

vs

Retires 31st August 2012
(34.5 years service)
Salary €65,000 (post 1/1/10 cut amount)
Pension €28,031
Lump Sum €84,093

During that time she has in addition earned a further 6 months salary of €32,500 (less deductions) rather than a pension of €14,166 (less deductions).

The salary applicable for retirement up to 29 Feb 2012 is the salary as before the cut made in January 2010. It is the scale that came in on 1/9/08. Retiring on or before 29 Feb, the pension and lump sum will be calculated on the basis of the uncut salary.

However there is a further factor to take into consideration. As things stand at present the levy on pensions (ie the levy on actual pension known as the PSPR as opposed to the pay cut made in 2009 called the “pension levy”) will not apply to pensions of those retiring from 1 March 2012.

Also there is at present a Cornmarket help line to give individual advice - the number is 01 4084162.

In September there will be advice seminars held in some parts of the country, details of which will be available on this page in the coming days. These seminars are being run by TUI/Cornmarket and will have representatives in attendance who will be in a position to give precise confidential advice in individual circumstances.

These workshops will take place nationwide in September and October, and will address all aspects of retirement.

Sophisticated software calculators will be available on the day to show you what it means for your income if you retire before, or after the end of February 2012. There will also be experts in this area to answer your personal financial queries.

Information will also be included in TUI News which will be in workplaces later this week and any updates will be uploaded on this website.