A pension transfer bond (or buy-out bond) is a pension plan holding the pension fund that you have built up from a previous employment.
When you change employer, you may opt to leave your pension where it is or to move your fund to a pension transfer bond, which lets you decide where and how it is invested.
When can I retire?
With a buy-out bond your retirement date is set by the rules of your original pension scheme. You can retire at any age between 50 and 70 but the amount of lump sum you will receive will be based on the details of your original pension scheme.
How do I take my pension benefits?
We will send you your retirement papers. They will show you the options available to you as well as giving you an up-to-date valuation on your retirement fund with Friends First. To prepare these papers, we may ask you to give us proof of your salary and length of service with your employer.
Your retirement papers need to be completed, signed and returned to us with any accompanying documents required by us.
What accompanying documents do I need?
There are certain documents you will need to send us with your retirement papers so we can process your retirement claim.
Your original policy or Lost Policy Declaration & Indemnity Form
We need your original policy schedule to process a claim on your pension. If you have lost this document, you should fill in the Lost Policy and Indemnity Form included in your retirement papers – this must be witnessed by a third party who is not a relative.
Proof of identification
We need your original birth certificate or passport or a certified copy of either. This is to protect you against a possible fraudulent claim on your pension.
Form of Indemnity – tax-free lump sum on retirement
There is a limit (currently €200,000) that you can take as a tax-free lump sum from your pension plan(s). On this form, you must declare any sum you have previously taken so we can deduct the correct tax from the lump sum you are taking on your retirement.
Declaration of previous retirement benefits
Also known as a Benefit Crystallisation Event Declaration. You need to fill in this form to declare all retirement benefits you may have previously taken or have transferred overseas. This ensures that you don’t exceed the maximum Revenue benefit limits.
Your PPS Number (previously called RSI Number)
You will find this on any correspondence from the Revenue or on your payslip.
Tax Credit Certificate
This is needed if you are setting up an annuity with Friends First. The Revenue will issue you with a Tax Credit Certificate that sets out in detail the amount of tax credits you receive and your standard rate cut-off point.
Marriage certificate or civil partnership registration form
This is in the case of a joint life annuity. If you don’t have the original, you can send us a certified copy.
Talk to your Financial Broker
We strongly recommend that you talk to your Financial Broker when you are making decisions about your retirement benefits.