Changes are afoot in the world of pensions, and yes, it may impact your group water scheme. Starting 1 January 2026, Ireland is rolling out the Auto-Enrolment Retirement Savings System, also known as MyFutureFund. If your scheme employs staff, this is something you’ll want to get ahead of, preferably with a cup of tea in hand.
For GWS management, this development carries important implications, particularly for schemes employing staff who meet the criteria. Under the new system, employees aged 23 to 60, earning €20,000 or more annually, and not already contributing to a pension, will be automatically enrolled. Contributions will be made by the employee, employer, and the State, with a phased increase over ten years.
The system will be managed by the National Automatic Enrolment Retirement Savings Authority (NAERSA), which will handle eligibility, enrolment, contributions, and investments. For GWSs, setup will be minimal, complete a profile on the NAERSA portal, choose a payment method, and notify employees.
Pension Advice
Compliance is mandatory, however employees already in a workplace pension will not be enrolled, and those enrolled can opt out between months six and eight.
Given the significance of this change, the NFGWS strongly advises all schemes with eligible employees to:
- Consult with your accountant or financial advisor for tailored guidance.
- Engage directly with NAERSA for support and resources.
- Prepare early to ensure smooth compliance and employee communication
Commitment to Employee Welfare
This reform represents a major step forward in securing financial futures for GWS workers. For GWSs, embracing auto-enrolment not only ensures legal compliance but also demonstrates a commitment to employee welfare and long-term sustainability. For more information, contact the NFGWS or your GWS accountant.
Additional Resources on Auto-Enrolment
- Watch and Learn: Explore the Department of Social Protection’s official videos on auto-enrolment to understand how the system works.
- Read More: Access detailed information provided by the Department of Social Protection on auto-enrolment.
- FAQs: Find answers to common questions about auto-enrolment in the dedicated Frequently Asked Questions section.
- Legislation: The rules governing auto-enrolment are outlined in the Automatic Enrolment Retirement Savings System Act 2024.
This article originally featured in the most recent edition of the Rural Water News magazine. To read the full edition and to sign up to our magazine mailing list, click here.
