Ireland’s Pension Auto Enrollment 2026
A new statutory retirement savings system in Ireland was implemented in January 2026, with implications for both employers and employees, even when an employer currently operates and offers membership of an occupational pension scheme or a Personal Retirement Savings Account (PRSA).
This change and its impact should not be understated. Employers should now prepare for implementation and make decisions about their pension/retirement planning offerings for employees.
Who is impacted
All employees aged 23 to 60 earning €20,000 annually, across all roles, are eligible for automatic enrollment (AE). Those outside these age ranges may also opt in.
The contributions required in month 1 of implementation will be 1.5% Employer and 1.5% Employee (of total earnings), with employee gross equivalent contribution taken from net pay. Employer contributions will have no tax implications for the employee. The employee contribution, unlike current DC savings available through the private sector, will not be tax–relieved; instead, it will be topped up with a 0.5% Government contribution. Over 10 years from implementation, the combined percentage will increase to 14%, with 6% Employer, 6% Employee, and 2% Government.
NB Any employee in exempt employment will not be automatically enrolled in the Government System, once implemented. Who is deemed exempt? An employee who is in the AE scope will not be pulled into the government scheme where they are currently making a pension contribution via payroll – of any kind – this can be employer only, employee only, or a combination of the two. If they stop contributing to a current arrangement at any time, they will be brought into AE, and must wait 6 months to opt out, or recommence/join a pension, at which point they will be in exempt employment again.
The new National Automatic Enrollment Retirement Savings Authority (NAERSA) will not review standards for current schemes until year 6 of operation. At the outset, any contribution will suffice for exemption.
The Government will be utilising a look-back approach to enable notification of contributions for their system to employers in December 2025 for January 2026 payroll, so employers who do not wish to participate in the government system must ensure that their employees are enrolled in a plan and actively contributing via payroll by November 2025 payroll, to avoid having to appeal in January 2026.
This information on Ireland’s pension auto-enrollment for 2026 is provided by Arachas, Asinta’s employee benefits consulting Partner in Ireland. If you need support with your employee benefits in Ireland, please contact Asinta, and we will connect you with the local experts at Arachas.