PRSA Obligation for Employers

While Employers in Ireland are not obliged at this point in time to make a contribution to a Pension fund for an Employee, it is mandatory for the Employer to provide access to a Personal Retirement Savings Account (PRSA) through payroll.

The Company will enter into a contract with a PRSA provider and notify the employees that they have the ability to contribute to a PRSA and that the tax relief would be administered through payroll.

As Auto-Enrolment is coming down the line for Irish Employers, it’s important to consider this PRSA facilitation decision in the context of the upcoming mandatory auto-enrolment rules.