Retirement planning information for Ireland’s freelancers, contractors and sole traders
Eligible employees may be included in My Future Fund. Self-employed workers can consider options such as a PRSA to build retirement savings, and qualifying contributions may receive income tax relief. Our guides set out the main points in accessible language.
Who may qualify in 2026?
Available payment methods vary by provider. You may be able to contribute on a schedule or make a single payment during the year.
Depending on your situation and age-based limits, qualifying contributions may receive relief at 20% or 40%.
Returns within a PRSA are generally not taxed annually, although investments can rise or fall in value.
Depending on the rules that apply to you, up to 25% may be taken as a lump sum. Remaining funds can help provide retirement income.
Revenue applies age-related limits to earnings eligible for pension tax relief. Use this calculator for an indicative limit and an estimate of what a contribution could cost after relief.
exceeds your limit and is not eligible for relief this year.
This illustration is based on Revenue’s 2026 age-related limits. It excludes USC and PRSI. Check your own position with Revenue or a suitably qualified adviser.
| Age | Max % of net relevant earnings | Max on €115,000 cap |
|---|---|---|
| Under 30 | 15% | €17,250 |
| 30–39 | 20% | €23,000 |
| 40–49 | 25% | €28,750 |
| 50–54 | 30% | €34,500 |
| 55–59 | 35% | €40,250 |
| 60 and over | 40% | €46,000 |
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In general, yes. If you earn a salary and also have income as a sole trader, you may be enrolled through your job and contribute to a PRSA based on your self-employed profits. The schemes work differently: My Future Fund contributions receive a state top-up rather than tax relief, while PRSA contributions may qualify for income tax relief. It is worth confirming how the limits apply to your circumstances with an adviser.
For a sole trader, this generally means taxable profit from your trade or profession after capital allowances and trading losses. Salary from a job without a separate pension may also count. Rental income, dividends and other investment income are excluded. Relief is calculated on earnings up to €115,000 per year.
You are not required to maintain regular PRSA payments. You can stop, reduce or pause contributions and resume them when your income improves. Your annual relief limit decreases if your profit falls. Contributions above the limit can generally be carried forward for a future claim.
Access is generally available from age 60, and benefits must usually be drawn by age 75. Earlier access is limited to certain circumstances, such as serious ill health. At retirement, you can generally take up to 25% as a lump sum; the first €200,000 of qualifying lump sums is tax-free over your lifetime. The balance may be transferred to an Approved Retirement Fund (ARF), used to buy an annuity or, in some cases, taken as taxable cash.
This is general information based on Irish rules in 2026. Individual circumstances vary, so consult Revenue or a qualified financial adviser before making decisions.