In last week’s blog, we looked at a 60 year-old who was retiring with a fund of €600,000. We highlighted the various options and figures available when purchasing an annuity. This week, as promised, we are going to look at a very popular alternative; Investing in an Approved Retirement Fund (ARF).
Regardless of which option you choose, the majority of retirees take the 25% tax-free lump sum, in this case €150,000. The ARF option is then, simply an investment that allows you retain control over your fund.