Who’s included?
You’re enrolled automatically if you:
- are an employee aged 23 to 60
- earn at least €20,000 a year
- aren’t already in a workplace pension through your payroll
Your employer handles it. Contributions are worked out on your pay up to €80,000, so someone earning €100,000 pays the same as someone on €80,000: €1,200 a year at the starting rate.
What goes in?
The rates rise every 3 years, so the amounts grow as the system settles in:
- 2026 to 2028 €1,400 a year
- You €600 · Your employer €600 · The State €200
- 2029 to 2031 €2,800 a year
- You €1,200 · Your employer €1,200 · The State €400
- 2032 to 2034 €4,200 a year
- You €1,800 · Your employer €1,800 · The State €600
- From 2035 €5,600 a year
- You €2,400 · Your employer €2,400 · The State €800
Worked out on pay up to €80,000. The State adds €1 for every €3 you put in.
| Years | You | Your employer | The State |
|---|---|---|---|
| 2026 to 2028 | 1.5% | 1.5% | 0.5% |
| 2029 to 2031 | 3% | 3% | 1% |
| 2032 to 2034 | 4.5% | 4.5% | 1.5% |
| 2035 onwards | 6% | 6% | 2% |
What does it cost me?
Your contribution comes out of your pay after tax. On €40,000, that’s €600 a year, or €50 a month, from 2026 to 2028. Your employer adds the same, and the State adds €200, so €1,400 goes in for every €600 of yours.
By 2035, on the same pay, you’d put in €2,400 a year and €5,600 would go in altogether. Plan for each step up: your take-home pay falls a little in 2029, 2032 and 2035.
Auto-enrolment or a workplace pension?
It depends on your tax rate and what your employer pays:
- Auto-enrolment: for every €3 you put in, the State adds €1, a 33% top-up.
- A workplace or personal pension: you get tax relief at your highest rate. At 20%, €3 of your money puts €3.75 in, a 25% top-up. At 40%, it puts €5 in, a 67% top-up.
So the State top-up is better for people paying tax at 20%, and tax relief is better at 40%. Some employers pay more into their own pension schemes, so compare what yours offers.
See your own numbers
Our pension calculator shows what auto-enrolment or a workplace pension could grow to by retirement, and the tax-free lump sum you could take. For how much to aim for overall, see how much to save for retirement.