QFA Pensions (LIA/IOB, Ireland)

What is the standard qualifying age for the State Pension (Contributory) in Ireland?

• A65
• B66
• C67
• D68

Which PRSI class is paid by self-employed individuals in Ireland and qualifies them for the State Pension (Contributory)?

• AClass A
• BClass B
• CClass S
• DClass H

What is the minimum number of paid PRSI contributions required to qualify for any State Pension (Contributory) in Ireland?

• A260 paid contributions
• B520 paid contributions
• C1,040 paid contributions
• D2,080 paid contributions

Under the Total Contributions Approach (TCA), how many PRSI contributions are required to receive the maximum State Pension (Contributory) rate?

• A1,040 contributions
• B1,560 contributions
• C2,080 contributions
• D2,600 contributions

What is the maximum annual earnings limit taken into account for calculating tax relief on personal pension contributions in Ireland?

• A€80,000
• B€115,000
• C€150,000
• D€200,000

Which of the following best describes the demographic trend in Ireland that drives the urgency for private pension funding?

• AA decreasing life expectancy among the retired population
• BAn increasing dependency ratio of retirees relative to active workers
• CA decreasing average retirement age
• DAn increase in the proportion of workers paying modified PRSI

How is the State Pension (Non-Contributory) funded and assessed in Ireland?

• AFunded by Class A PRSI contributions and subject to a medical test
• BFunded from general taxation and subject to a means test
• CFunded by Class S PRSI contributions and subject to an employment record test
• DFunded by employer levies and available to all residents over 70 without assessment

A 28-year-old employee earns €50,000 per year. What is the maximum percentage of their earnings they can contribute to a pension and claim tax relief on?

• A15%
• B20%
• C25%
• D30%

Under the Home Caring Scheme, what is the maximum number of years spent caring for a child under 12 (or an incapacitated adult) that can be credited to calculate the State Pension (Contributory) under the Total Contributions Approach?

• A5 years (260 contributions)
• B10 years (520 contributions)
• C15 years (780 contributions)
• D20 years (1,040 contributions)

An individual reaches age 66. Their PRSI record consists entirely of Class S contributions. Which state welfare benefit do they qualify to apply for?

• AState Pension (Contributory) only
• BState Pension (Contributory) and State Pension (Non-Contributory), depending on a means t…
• CState Pension (Non-Contributory) only, because Class S does not qualify for Contributory…
• DInvalidity Pension only

Which of the following qualifies as 'Net Relevant Earnings' (NRE) when determining a client's eligibility for pension tax relief in Ireland?

• ARental income from residential property
• BDividends and deposit interest
• CIncome from a trade, profession, or non-pensionable employment
• DState Pension and social welfare benefits

What is the consequence of making pension contributions that exceed the age-related percentage limits or the earnings cap in Ireland?

• AThe excess contributions are confiscated by the Pensions Authority
• BThe excess contributions do not qualify for tax relief in the current year but can be car…
• CThe individual is fined 40% of the excess contribution amount
• DThe pension provider must refund the excess contributions immediately

An employee is 56 years old. What is the maximum percentage of their net relevant earnings that they can contribute to their pension scheme under Revenue tax relief rules?

• A25%
• B30%
• C35%
• D40%

Which of the following is true regarding PRSI contributions for an employee who continues working in Ireland after reaching age 66?

• AThey must continue to pay PRSI at the Class A rate
• BThey stop paying PRSI contributions, and their Class A code changes to Class M
• CTheir PRSI rate increases to Class S to offset the State Pension cost
• DThey pay PRSI at a flat rate of 5% regardless of income

What is the minimum weekly average of PRSI contributions required over a working lifetime to qualify for the minimum partial rate of the State Pension (Contributory) under the old yearly average system?

• A10 contributions
• B15 contributions
• C24 contributions
• D48 contributions

Under the Home Caring Scheme, what is the eligibility restriction regarding the year of birth of the child being cared for?

• AThe child must have been born on or after 6 April 1994
• BThe child must have been born on or after 1 January 2012
• CThere is no restrictions; periods of care since 1973 can be included
• DThe child must have been born after the claimant reached age 30

If a client has worked in both Ireland and another EU member state, how is their eligibility for the Irish State Pension (Contributory) determined?

• AThey can only claim a pension from the country where they spent the most years
• BTheir contributions from both countries can be combined under EU regulations to help them…
• CThey must forfeit their foreign contributions to claim any Irish state benefits
• DThey receive two full pensions from both countries without any coordination

What is the primary role of the Pensions Authority in Ireland?

• ATo invest public pension funds in global markets
• BTo regulate and monitor occupational pension schemes and PRSAs
• CTo resolve individual consumer disputes regarding financial product charges
• DTo calculate and pay the State Pension (Contributory) to retirees

A client is 62 years old and wants to make a lump sum contribution to their personal pension plan to reduce their income tax liability for the previous tax year. By what date must this contribution and election be made?

• A31 December of the current tax year
• B31 October of the current tax year (extended for ROS online filers)
• C5 April of the following tax year
• D31 January of the following tax year

In the context of retirement planning, what is the 'replacement ratio'?

• AThe ratio of an individual's pension contributions to their final salary
• BThe percentage of pre-retirement income that is needed or generated in retirement to main…
• CThe proportion of equity investments relative to fixed income assets in a pension fund
• DThe rate at which defined benefit schemes are replaced by defined contribution schemes

Which of the following is correct regarding the payment of the State Pension (Contributory) if a recipient moves permanently to live in another country outside the EU?

• APayment is suspended immediately upon leaving Ireland
• BPayment continues to be paid, regardless of which country the recipient resides in
• CPayment is reduced by 50% as a departure tax
• DPayment continues for a maximum of 12 months, after which it is terminated

What is the yearly average PRSI contribution requirement for a claimant to qualify for the maximum State Pension (Contributory) rate under the old averaging system?

• AAn average of 20 contributions per year
• BAn average of 30 contributions per year
• CAn average of 48 contributions per year
• DAn average of 52 contributions per year

How does the treatment of qualified adult dependents differ between the State Pension (Contributory) and the State Pension (Non-Contributory)?

• AAn increase for a qualified adult is only payable under the Contributory scheme
• BThe Contributory scheme increase is based on the adult's own means, whereas the Non-Contr…
• CBoth schemes allow increases for a qualified adult, but the Contributory increase is subj…
• DThe Non-Contributory pension cannot be increased for dependents

Under the Total Contributions Approach (TCA), how are voluntary PRSI contributions treated for pension qualification?

• AThey cannot be counted toward the 520 paid contributions requirement, but can count towar…
• BThey are treated exactly the same as standard Class A contributions for all qualifying th…
• CThey do not count toward the State Pension at all, only toward bereavement grants
• DThey can only be paid by employees, not by former self-employed individuals

Which of the following is a key requirement for an individual to pay voluntary PRSI contributions in Ireland?

• AThey must have at least 520 paid PRSI contributions already on their record
• BThey must be currently employed part-time earning less than €38 per week
• CThey must be over age 66
• DThey must pay a flat rate of €1,000 per week

Which of the following occupational pension schemes guarantees a specific retirement benefit, usually based on final salary and years of service?

• ADefined Contribution (DC) Scheme
• BDefined Benefit (DB) Scheme
• CStandard PRSA
• DRetirement Annuity Contract (RAC)

What is the standard vesting period for an occupational pension scheme in Ireland, after which a member is entitled to a preserved benefit?

• A6 months
• B1 year
• C2 years
• D5 years

What is the maximum tax-free lump sum that can be paid from a corporate pension scheme upon the death-in-service of a member?

• A1.5 times the member's final salary plus employee contributions refund
• B2 times the member's final salary plus employee contributions refund
• C4 times the member's final salary plus employee contributions refund
• DThe entire value of the accumulated DC fund

In a coordinated or integrated pension scheme, how is the pensionable salary calculated?

• ABy adding the State Pension Contributory to the basic salary
• BBy making a deduction (often 1.5 or 2 times the State Pension Contributory) from the basi…
• CBy multiplying the basic salary by the replacement ratio
• DBy using the net relevant earnings cap of €115,000 as a default salary

Under Irish pension law, what is the minimum percentage of trustees that must be member-selected if a valid request is made by the scheme members?

• A25%
• B33%
• C50%
• D100%

What is the primary effect of a Pension Adjustment Order (PAO) issued by the court in Ireland?

• AIt allows a member to withdraw their pension early to pay off debts
• BIt directs the trustees of a pension scheme to pay a designated portion of the member's b…
• CIt changes a defined benefit scheme into a defined contribution scheme
• DIt enforces a reduction in the charges applied by the pension provider

What is a Personal Retirement Bond (PRB), also known as a Buy-Out Bond?

• AA state-backed saving scheme for low-income retirees
• BA personal contract used to receive a transfer value when a member leaves an occupational…
• CA type of corporate bond issued by life assurance companies
• DA mortgage protection policy linked to a pension plan

Who is legally responsible for the overall governance, administration, and investment of assets in an occupational pension scheme?

• AThe employer's HR department
• BThe scheme members
• CThe Trustees
• DThe Pensions Authority

How are employer contributions to an approved occupational pension scheme treated for corporation tax purposes in Ireland?

• AThey are subject to a 12.5% BIK surcharge
• BThey are fully deductible as a business expense in the year they are made
• CThey are capped at €115,000 per employer
• DThey do not receive tax deductions unless the scheme has member trustees

Under the European IORP II Directive, what is a key compliance requirement for trustees of occupational pension schemes in Ireland?

• AAll schemes must invest at least 50% in Irish government bonds
• BTrustees must meet fit and proper standards, have adequate professional experience, and i…
• CTrustees must allow members to withdraw cash at any time
• DSchemes must be audited monthly by the Central Bank of Ireland

A 42-year-old employee is a member of an occupational pension scheme. What is the maximum percentage of their pensionable salary they can contribute to the scheme and claim personal income tax relief on?

• A15%
• B20%
• C25%
• D30%

If an employee leaves service with less than 2 years of qualifying service in an occupational pension scheme, what is their statutory entitlement under Irish pension rules?

• AThey are entitled to a preserved benefit of the entire employer and employee fund
• BThey are entitled to a refund of their own contributions (subject to tax), but lose any e…
• CThey forfeit all contributions to the state pension fund
• DThey can transfer the entire fund immediately to an ARF

Which document must the trustees of an occupational pension scheme prepare and make available to members within a statutory timeframe after the end of the scheme year?

• AAn actuarial valuation report
• BA Trustee Annual Report (TAR) and Accounts
• CA Personal Retirement Savings Statement
• DA prospectus for the scheme's underlying funds

What is a 'Statement of Investment Policy Principles' (SIPP) under Irish pension regulations?

• AA document prepared by the employer detailing the company's financial health
• BA document prepared by the trustees detailing the scheme's investment objectives, risk me…
• CA sales brochure provided by life assurance companies to attract new members
• DA statement of the tax deductions claimed by the scheme members

Under Revenue rules, what is the maximum pension (expressed as a fraction of final salary) that can be paid to an employee retiring at normal retirement age under an approved Defined Benefit scheme?

• A1/2 of final salary
• B2/3rds of final salary
• C3/4ths of final salary
• DThe entire final salary

What is the tax treatment of investment returns (capital gains, dividends, interest) generated within the fund of an approved occupational pension scheme?

• AThey are subject to Capital Gains Tax (CGT) at 33%
• BThey are exempt from all income tax, DIRT, and Capital Gains Tax
• CThey are subject to a flat pension levy of 1% per year
• DThey are taxed as income when the fund value exceeds €1,000,000

If an employer does not provide an occupational pension scheme for their employees, what is their statutory obligation under PRSA legislation in Ireland?

• AThey must pay a penalty of €10,000 per employee
• BThey must provide access to at least one Standard PRSA, allow employee contributions via…
• CThey must contribute at least 5% of salary to a pension for each employee
• DThey must establish a trust scheme within 12 months

Under a Defined Contribution (DC) occupational scheme, who bears the investment risk associated with the pension fund?

• AThe sponsoring employer
• BThe scheme trustees
• CThe employee (scheme member)
• DThe Pensions Authority

If an employee retires and elects the salary-and-service method for their lump sum from an occupational scheme, what is the maximum tax-free lump sum they can receive?

• A25% of the total fund value
• BUp to 1.5 times their final salary, subject to completing 20 years of service
• CA flat €200,000 regardless of salary
• D4 times their final salary

What is the primary purpose of the 'Funding Standard' for Defined Benefit schemes under Irish pension legislation?

• ATo limit the amount of money an employer can withdraw from the fund
• BTo ensure a DB scheme has sufficient assets to meet its liabilities (including pensions i…
• CTo mandate that all employees receive the same pension amount
• DTo prevent trustees from charging administrative fees

What is the tax rate applied at source to a refund of employee contributions when an employee leaves a scheme with less than 2 years of service?

• ANo tax is applied
• BA flat rate of 20%
• CThe employee's marginal rate of income tax (either 20% or 40%)
• DA penalty rate of 40%

Under what authority can an employer deduct employee pension contributions directly from salary?

• AOnly with the written consent of the employee on each occasion
• BUnder the terms of the employment contract (or collective agreement) establishing members…
• COnly if the deduct is approved by the Pensions Authority
• DUnder no circumstances; payroll deductions are illegal