After being delayed multiple times over the past few years, preparations for auto-enrolment are now in full swing with the first board meeting of NAESRA and confirmation of how contributions will be invested.
NAESRA, the authority which will handle most of the administrative work, held its first board meeting in what was a major step forward for the scheme before it finally goes live on 1st January 2026.
Recruitment has also begun for its headquarters in Letterkenny following Minister Dara Calleary’s formal launch of NAESRA.
NAERSA’s first board meeting was described as a ‘significant step’ by the government in ensuring around 750,000 workers without an occupational pension will be contributing to their retirement savings.
How will auto-enrolment money be invested?
NAESRA (National Automatic Enrolment Retirement Savings Authority) will collect all employee, employer and State contributions, and invest the money on the participants’ behalf.
They will adopt a default investment strategy, but the government has confirmed that some alternative investment options will also be available for those who may wish to take a more role in their investments.
Investment returns will then be allocated to each participants’ pension pot, which will follow them throughout their career even if they switch jobs.
The MyFutureFund website will allow employees to opt-out, opt-in, and suspend contributions, as well as allowing for re-enrolment. The website will also provide employers with a dedicated portal to view their enrolled employees and check payment records.
The idea is that employers will have minimal admin work compared to setting up and administering an occupational pension scheme.
Next Steps for Employers
From December, employers will be asked to complete their profiles on the MyFutureFund employer portal and set up a payment method for contributions. This process should take no longer than 10 minutes.
Once employers have done this, they will also need to inform employees who have been enrolled of their enrolment date which can be done using support on the portal.
A campaign will also be aimed at employers ahead of auto-enrolment going live, which will include guides and webinars to remove any doubts that may still exist.
Employers Warned of Penalties for Hinderance
The Department of Social Protection said that some employers are incorrectly informing staff that they are now obliged to join an employer sponsored pension scheme before the end of 2026.
The department clarified that this is not the case and reminded employers that it is an offence to take any action that hinders or attempts to hinder an employee from participating in the scheme.
Any cases where employees are illegally obliged to join another pension scheme and therefore prevented from accessing the MyFutureFund scheme will be fully investigated, the department said.
