Approved Retirement Funds with GSB Capital
When you reach retirement, your pension planning doesn’t stop, it evolves. An Approved Retirement Fund (ARF) allows you to keep your pension invested while drawing down an income that suits your lifestyle. Unlike a traditional annuity, an ARF offers flexibility, freedom, and the opportunity for continued financial growth.
Whether you’ve just accessed your pension or are weighing your retirement options, our experienced team at GSB Ireland will help you understand what an ARF is, how it works, and why it might be the right fit for your long-term financial goals. We’ll walk you through the key benefits, how to get started, and answer common questions about ARF rules in Ireland. If you’d like tailored pension planning advice, we are here to help.
Benefits of Investing in a Pension ARF
Flexibility
An ARF provides unparalleled flexibility in retirement. Unlike annuities, which lock you into a fixed income, ARFs allow you to decide how much you withdraw and when. Whether you want a regular monthly income, occasional lump sums, or to leave your fund untouched for a while, the decision is yours.
Continued Financial Growth in Retirement
Your money doesn’t stop working when you retire. With an ARF, your funds remain invested, meaning you still have the potential for capital growth during retirement. This makes ARFs particularly appealing to those who retire early or who want to preserve wealth for their family.
Tax-Free Growth
All investment growth within your ARF is tax-free, meaning your money can compound over time without immediate deductions. While withdrawals are taxable as income, the tax-free growth inside the fund offers a powerful advantage for long-term planning.
Full Control Over Where Funds Are Invested
With an ARF Pension, you have complete control over how your money is invested. You can choose a portfolio aligned with your risk appetite, goals, and market outlook. Whether you prefer conservative funds or more dynamic growth strategies, your adviser will help design an investment approach that works for you.
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How to Get Started with Approved Retirement Funds
Getting started with an ARF is a seamless process when you partner with GSB Capital Ireland. Here’s how we support you at each stage:
Initial Consultation
We begin by understanding your retirement goals, pension assets, and income needs.
Review of Pension Benefits
We’ll assess the value of your pension fund and how it can be structured at retirement.
Tailored ARF Strategy
Based on your situation, we’ll recommend a personalised ARF structure.
Choose Investment Options
We’ll help you select a portfolio that reflects your risk tolerance, time horizon, and retirement targets.
Ongoing Management & Support
As your situation evolves, our team is here to review, adjust and optimise your AVC plan over time.
ARF FAQs
To be eligible for an ARF in Ireland, you typically need to have accessed your pension and taken your tax-free lump sum. ARFs are most commonly used by those retiring from defined contribution pension schemes, personal pensions, PRSAs, or AVCs.
You can withdraw from your ARF as often as you like, provided you meet the minimum annual distribution rules. Once you reach age 61, you’re required to withdraw 4% annually. This rises to 5% once you reach 71.
While an ARF Pension offers a high degree of flexibility and the potential for continued investment growth, it’s important to understand the risks involved before committing.
- Investment Risk:
Unlike an annuity, an ARF doesn’t provide a guaranteed income for life. This means there’s a possibility that your savings may not stretch for the full duration of your retirement, especially if you withdraw large amounts early on or live well beyond average life expectancy. To avoid running out of funds later in life, it’s essential to plan your withdrawals carefully and review your strategy regularly. - Longevity Risk:
With an ARF, there’s no guarantee your money will last throughout your retirement. You may outlive your fund if you live longer than expected or withdraw too much too soon. This contrasts with an annuity, which guarantees income for life. Careful planning is required to ensure your ARF is sustainable over the long term. - Income Management:
An ARF requires ongoing decision-making about how much to withdraw, when to take it, and how to manage the remaining investment. This level of control can be empowering, but it also comes with the responsibility of managing your income wisely to avoid unnecessary tax liabilities or depleting your fund too early.
That’s why it’s essential to work with a trusted adviser. At GSB Capital Ireland, we offer personalised guidance to help you navigate these risks and manage your ARF in a way that supports your retirement goals with confidence and peace of mind.
An annuity provides a guaranteed income for life, while an ARF keeps your money invested and allows flexible withdrawals. ARFs offer more control and growth potential but with greater responsibility and market exposure.
It is possible to use part of your pot for an ARF and another part for an annuity, if you wanted to combine strategies. Speak to an advisor to assess the best plan for you and your circumstances.
What Truly Sets Us Apart
We’re client-centric
We pride ourselves on creating deep connections with our clients by investing as much time as necessary to get to know you and understand your needs. At GSB Ireland, we believe that the only way to help you achieve your financial goals is by fostering a long-term relationship.
We’re conscientious
We take a holistic approach to investment. We support you every step of the way by planning and executing purpose-led long-term investment strategies ⏤ helping you navigate times of uncertainty and challenging market conditions to achieve lasting financial success.
We’re committed
We’re passionate about what we do and deliver market-leading, sustainable returns. We’re disrupting financial services by combining cost-effective, passive strategy with an unhindered commitment to environmental, social and governance (ESG) principles. We invest well by doing good.
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