Auto Enrolment Terminology Explained

Official Names and Bodies

• MyFutureFund - The official name of Ireland's auto-enrolment pension scheme, launching 1 January 2026.
• NAERSA - National Automatic Enrolment Retirement Savings Authority. The government body established to manage and administer the auto-enrolment system.
• AEPN - Automatic Enrolment Payroll Notification. The notification sent by NAERSA to employers' payroll systems when an employee is enrolled.

Key Terms

• Auto-enrolment (AE) - The automatic enrollment of eligible employees into a workplace pension scheme without them having to take action.
• Eligible employee - An employee aged 23-60, earning over €20,000 annually, and not already in a pension scheme through payroll.
• Auto Enrolment Contribution Submission (AECS) - reporting the employeOpt-out - The right to leave the scheme after 6 months and receive a refund of personal contributions (employer and government contributions remain in the fund).
• Opt-in - The ability for workers who don't meet eligibility criteria (under 23, over 60, or earning under €20,000) to voluntarily join the scheme.
• Suspend contributions - Pausing the employee's contributions to the scheme (available after 6 months) without leaving it entirely. All contributions stop, but existing funds remain invested.
• Re-enrolment - Automatic enrolment back into the scheme after 2 years if the employee opted out but remains eligible.
• Savings pot - The employee's accumulated pension fund, including all contributions from the employee, their employer, the government, and investment returns.

Related Pension Terms

• Occupational pension scheme - A workplace pension arrangement set up by an employer. If an employee is already in one, they are exempt from auto-enrolment.
• PRSA - Personal Retirement Savings Account. A personal pension arrangement. Having a standalone PRSA (not connected to employment) doesn't prevent auto-enrolment.
• RAC - Retirement Annuity Contract. A trust-based pension arrangement.
• PEPP - Pan-European Personal Pension Product. A type of personal pension.
• State Pension (Contributory) - Ireland's main state pension based on PRSI contributions. Auto-enrolment is separate and in addition to this.
• PRSI - Pay Related Social Insurance. The employee's social insurance contributions that count toward State Pension entitlement.
• Contribution Terms
• Contribution rate - The percentage of gross salary contributed to the pension fund.
• Phased implementation - The gradual increase in contribution rates over 10 years (starting at 1.5%, reaching 6% by year 10).
• Matching contributions - The employer's requirement Government top-up - The state contribution of €1 for every €3 saved by the employee.
• Contribution cap - The maximum salary level (€80,000) on which employer and government contributions are calculated.

Process Terms

• 13-week lookback period - The period NAERSA reviews to check if employees are making pension contributions through payroll.
• Six-month lock-in period - The initial 6 months during which enrolled employees must remain in the scheme before they can opt out.
• Opt-out window - Months 6-8 after enrollment when employees can leave the scheme and get their contributions refunded.
• Employee portal - The online system (accessed via MyGovID) where the employee can view their savings, manage investments, and exercise opt-out/suspend rights.
• MyGovID - The government's digital identity system used to access the employee portal.

Investment Terms

• Investment strategy - The employee's choice of risk level for how their pension pot is invested (default, high, medium, or low risk).
• Investment returns - The gains (or losses) from investing their pension contributions.
• Administration fees - Charges deducted from their pension pot for managing the scheme.

Employer Terms

• Employer portal - The system where employers register their company details and set up payment methods for contributions.
• Payroll provider - The company or system that processes employee wages and now must integrate auto-enrolment contributions.
• Compliance - Meeting the legal obligations around auto-enrolment, including timely registration and contributions.