## What My Future Fund is
My Future Fund is Ireland's new auto enrolment retirement savings scheme, due to commence on 30 September 2026. It is administered by the National Automatic Enrolment Retirement Savings Authority (NAERSA), an independent state body.
The scheme is designed for employees who do not already have an occupational or personal pension at their workplace. Eligible workers are enrolled automatically, with contributions split between employee, employer, and the state.
## Who is auto enrolled
You are auto enrolled if all of these apply:
- You are aged between 23 and 60
- You earn at least €20,000 per year (across all employments)
- You are not already an active member of an occupational pension scheme
Workers outside this range can opt in voluntarily.
## Contribution rates
Contributions phase in over ten years. Year one rates are:
| Source | Year 1 contribution rate |
| --- | --- |
| Employee | 1.5 percent of gross pay |
| Employer | 1.5 percent of gross pay |
| State top up | 0.5 percent (one third of employee) |
| Total | 3.5 percent |
Rates rise every three years until they reach a combined 14 percent (6 percent employee, 6 percent employer, 2 percent state) in year ten.
## Salary cap
Contributions apply to gross earnings up to €80,000 per year. Earnings above that are not auto enrolled, although employees can pay extra into a separate PRSA or scheme.
## Worked example, year 1
Saoirse earns €40,000 per year.
- Employee contribution: €40,000 x 1.5 percent = €600 per year
- Employer contribution: €40,000 x 1.5 percent = €600 per year
- State top up: €40,000 x 0.5 percent = €200 per year
- Total annual saving into Saoirse's pot: €1,400
Per month her payslip will show roughly €50 deducted, and her employer adds another €50 plus the state contribution at year end.
## Difference from PAYE pension tax relief
Traditional PRSAs and occupational schemes give tax relief at the marginal rate (40 percent for higher earners). Auto enrolment uses a state top up of one third instead. For higher rate earners with substantial existing pension capacity, traditional PRSA contributions may still be more tax efficient, but auto enrolment ensures broad coverage.
## Opt out window
You cannot opt out for the first 6 months. After that there is a 2 month window during which you can opt out and receive a refund of your contributions. Suspension is also possible after 7 months.
If you opt out, you are automatically re enrolled every two years.
## How payslips show it
Expect a new line on payslips from late 2026:
- "AE Pension" or "My Future Fund": deduction equal to 1.5 percent of gross pay
- Employer contribution may be shown for information only
## Investment options
Members are auto enrolled into a default fund tailored to their age. Members can switch to one of four funds offered by NAERSA: low risk, medium, higher risk, and a target date fund. The default option is a lifestyle fund that adjusts risk profile as retirement approaches.
## Existing pension scheme members
If you are already in a workplace pension scheme contributing at least at the auto enrolment level, you remain in that scheme and are not enrolled in My Future Fund. Employers must certify the equivalence.
## Educational notice
My Future Fund is a major change to Irish retirement savings. This article is general information. Speak with a qualified financial adviser before making decisions about pension contributions or opt out.