Auto-enrolment (My Future Fund) and PRSAs
Updated 12 June 2026
My Future Fund, Ireland’s auto-enrolment retirement savings scheme, launched on 1 January 2026. Employees aged 23–60 earning over €20,000 who are not already in a pension scheme through payroll are enrolled automatically. It is administered by NAERSA (the National Automatic Enrolment Retirement Savings Authority).
How contributions work
Contributions are a percentage of gross salary, phased in over a decade:
| Years | Employee | Employer | State |
|---|---|---|---|
| 2026–2028 | 1.5% | 1.5% | 0.5% |
| 2029–2031 | 3% | 3% | 1% |
| 2032–2034 | 4.5% | 4.5% | 1.5% |
| 2035 on | 6% | 6% | 2% |
For every €3 the employee puts in, the employer adds €3 and the State adds €1. Earnings above €80,000 do not attract contributions.
How it differs from a PRSA
- Tax mechanics. Auto-enrolment uses the direct State top-up (€1 per €3) instead of income tax relief. For a 40% taxpayer, €3 of personal PRSA contribution costs €1.80 net (relief worth €1.20), while €3 into My Future Fund attracts a €1 top-up — different mechanics, different values depending on your tax rate.
- Employer money. Auto-enrolment obliges the employer to match up to the schedule above. With a PRSA, employer contributions are voluntary (though unlimited since 2025 without benefit-in-kind).
- Choice and charges. Auto-enrolment offers a small set of funds with charges set by the scheme; PRSA savers choose among 208 products with published charges from a capped 1% AMC down to fractions of a percent — and up to much more on some non-standard products.
- Control. You cannot vary your auto-enrolment contribution rate; with a PRSA you set (and change) your own contributions within tax relief limits.
Opting out
Participation is automatic, but after 6 months you can opt out and have your own contributions returned (employer and State amounts stay invested for your retirement). You are re-enrolled automatically after 2 years unless you opt out again.
Current parameters with source links are on our auto-enrolment reference page.
This guide is general information, not financial advice. Whether auto-enrolment, a PRSA, an occupational scheme, or a combination suits you depends on your circumstances. ComparePensions is not regulated by the Central Bank of Ireland. Consult a regulated financial advisor.