pension for non working woman

[Mags53]

Hello,

I was thinking of getting a pension. I am a SAHM and have no income of my own but I would like to start a small pension, just a little nest egg for when I am older. I can put away a little money each month from my household income but I don’t know where to start?

what would you recommend?

[Financial Companion]

Hi Mags53, sorry I’m only seeing this question now! The biggest advantage in contributing to a pension or PRSA (pension related savings account) is the tax relief on contributions. As you are not in paid employment (I would never refer to it as “non working”) you lose out on this valuable benefit. There are other long term saving options that you could avail of, but although they can do very well over the long term, they don’t grow in a tax-free environment like pension funds do. The trade off is that you can access these long term saving plans when you choose, whereas pension type products have restrictions as to when you can access them and what your options are. If you want to email me contact details to info@financialcompanion.ie I can explain in more detail once I’ve asked you a few questions what might best suit your requirements.

Dave.

[Mags53]

Can I also ask , do you know anything about a payment the government give to women who worked in the home? a friend of the family told us she got €800 a few weeks ago and her sister got €700 and it was paid with their state pensions.

do you know anything about that? i never heard of it at all

[Financial Companion]

If it was paid with their state pension, it could be an entitlement for people over 65 such as fuel allowance but without knowing the details, it’s hard to know. It may not be applicable to you if you have not yet reached that stage.

[Author]

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