IRELAND – The Irish Association of Pension Funds says it is concerned about the lack of awareness among members of defined contribution pension schemes.

"The IAPF is concerned about the lack of awareness of many
defined contribution members,” said IAPF chairman Gerry Ryan, speaking at the association’s annual dinner.

“Pension scheme members should not assume that just because they have a pension that they will be secure in retirement.

“They should seek out projection tools from their advisers to determine if their current levels of contribution are adequate."

Ryan, who is also chairman of the Eircom Superannuation Fund, said the average contribution by employees and their employers in DC schemes is about 10% of income.

He said: "IAPF research finds that a 30 year old on a salary of 50,000 euros would have to almost double his or her annual savings in a defined contribution scheme from 10% of salary to 19.4% of salary to ensure an adequate retirement income."

Ryan added that the success of the pensions system and industry was “critical” for Ireland’s social and economic development.

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