AIB Approved Retirement Fund (ARF)

With an ARF you manage and control your retirement fund and can invest it in a wide range of different investment funds. You can also make withdrawals, as you need them. And because you own your own fund, you can leave it to your dependents when you die.

Who this plan suits?

Your AIB Financial Adviser will have advised you about the types of pension arrangement from which money can be paid into an ARF. You are not allowed to put money from any other source into the arrangement. The eligible pension arrangements are as follows:

• Personal Pension Plan
• PRSA 
• Additional Voluntary Contributions made by members of an Occupational Pension Scheme
• Occupational Pension Schemes for 5% Directors* who have taken a tax free cash lump sum of 25% of the value of their fund and not a tax free cash lump sum of up to 11/2 times their final annual salary 
• Existing ARFs or AMRFs (please refer to the AIB ARF brochure, which is available from your AIB Financial Adviser, for a full explanation of AMRFs)

* 5% Director is defined as being a director who is able, within the last three years prior to retirement, to control more than 5% of the shares in the company operating the scheme.

Additional Features

(For full terms & conditions of each of these features and for eligibility please arrange an appointment with an AIB Financial Adviser who will explain the features, terms and conditions in full)

• Investment - Money from your pension plan is invested during your retirement so that it still enjoys the opportunity to grow. 
• Income - Under the ARF we can pay out an annual fixed percentage of the value of your ARF to you as an income. You can also make other withdrawals or partial encashments from your AIB ARF when you wish. (Withdrawals are subject to tax and terms and conditions may apply to such withdrawals or encashments – please refer to the ARF brochure, which is available from your AIB Financial Adviser).
• Transfer - You can transfer the management of your ARF at any time, to any other Qualifying Fund Manager** that you may prefer. (See ARF brochure for further details). 
• Passing it on - In the event of your death, you can leave whatever is remaining in your ARF and/or AMRF to your heirs.

** Qualifying Fund Manager means a person or body who has been authorised to manage Approved Retirement Funds and/or Approved Minimum Retirement Funds. It includes banks, life assurance companies and building societies which are authorised for this purpose.

This information is based on AIB's understanding of current law, tax and Revenue pratice, September 2008.

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