Pension auto-enrolment in Ireland is live. My Future Fund took effect on 1 January 2026 under the Automatic Enrolment Retirement Savings System Act 2024 and is administered by NAERSA. Employees aged 23 to 60 earning over €20,000 a year who are not already paying into a pension through payroll are enrolled automatically, including probationary, casual and part-time staff. Employers must register, deduct the correct contributions and pay them to NAERSA alongside payroll.
In this guide: who is enrolled, what you contribute, how to register, and what happens if you do not.
What is pension auto-enrolment in Ireland?
Auto-enrolment is a workplace pension savings scheme for employees who are not already contributing to a pension through payroll. Eligible employees are enrolled automatically rather than having to apply, and can opt out after six months.
Contributions come from three sources: the employee, the employer, and the State. The scheme is run by the National Automatic Enrolment Retirement Savings Authority (NAERSA), a public body established under the 2024 Act and supervised by the Pensions Authority.
Why is Auto-enrolment Important?
Many employees lack a pension plan, making them reliant solely on the state pension upon retirement. While the state pension helps avoid poverty in retirement, it often does not meet the financial expectations of many retirees. Auto-enrolment aims to provide additional financial security by supplementing the state pension with employer and government contributions.
Who will be automatically enrolled?
An employee is enrolled automatically if all three apply:
- they are aged between 23 and 60
- they earn €20,000 or more a year across all employments
- they are not paying into a pension through payroll
"Employee" covers anyone directly employed, including variable-hours staff, seasonal workers and short-term contract workers. All gross pay counts, including overtime and bonuses.
Employees earning under €20,000, or aged outside the 23 to 60 band, can opt in provided they are not already in a payroll pension scheme.
Auto-enrolment contribution rates
Contribution rates are phased in over ten years. Every employee contribution is matched by the employer and topped up by the State. Contributions are calculated on earnings up to an upper threshold of €80,000, and the rates are fixed.
| Year of the Scheme | Employee Contribution | Employer Contribution | Government Top-up | Total Contributions |
|---|---|---|---|---|
| 1 to 3 | 1.5% | 1.5% | 0.5% | 3.5% |
| 4 to 6 | 3% | 3% | 1% | 7.0% |
| 7 to 9 | 4.5% | 4.5% | 1.5% | 10.5% |
| 10 and after | 6% | 6% | 2% | 14.0% |
Example Contribution
For every €3 an employee contributes, the employer adds €3 and the State adds €1, so €7 goes into the pension account. Rates increase in steps so employees can absorb the change gradually. For an employee earning €20,000 a year:
| Year of the Scheme | Employee Contribution | Employer Contribution | Government Top-up | Total Contributions |
|---|---|---|---|---|
| 1 to 3 | €300 | €300 | €100 | €700 |
| 4 to 6 | €600 | €600 | €200 | €1,400 |
| 7 to 9 | €900 | €900 | €300 | €2,100 |
| 10 and after | €1,200 | €1,200 | €400 | €2,800 |
Maximum Contributions
Employer and Government contributions are capped at a gross annual salary of €80,000. For the first three years, the maximum annual contribution from the employer is €1,200, and from the Government is €400. Employees earning over €80,000 can still contribute, but additional contributions will not be matched by the employer or the Government for the income above €80,000.
Opt-out and flexibility rules
Employees can opt out after six months and receive a refund of their own contributions. Where the opt-out follows a change in contribution rates during the first ten years, the refund reflects the difference in rates. Employees can also suspend contributions at any time, without a refund. Anyone still eligible is re-enrolled automatically after two years.
How employers register for auto-enrolment
Registration is through the My Future Fund employer portal. You log in with your existing ROS credentials, so there is no separate account to set up. Contributions have been due since the first payroll of 2026, whether or not an employer had registered. Registering late does not reset that. The contributions already due accrue as a legal debt, and the employer carries it.
Once registered, the simplest way to pay is a variable direct debit set up through the portal, which handles the changing amounts each pay run. Employers who do not use payroll software can submit contributions through the portal directly.
What auto-enrolment means for employers
Auto-enrolment gives employees pension coverage without the employer having to set up and run a scheme of their own. The obligations that come with it are ongoing rather than one-off:
- assess every new starter, because eligibility is checked continuously rather than once
- apply each payroll notification correctly and on time
- pay contributions to NAERSA at the same time employees are paid
- show contributions on payslips
- track opt-outs, suspensions and the two-year re-enrolment cycle
Employers who have not registered are building a debt for contributions already due, and are exposed to compliance action from NAERSA including penalties, fines and prosecution.
The cost is worth modelling before it lands. Every employee not currently in a payroll pension adds 1.5% of their gross salary to your payroll bill for the first three years, rising to 6% by year ten.
What happens when an employee changes jobs?
If an employee changes jobs, their pension contributions follow them under a 'pot-follows-the-member' basis managed by NAERSA. There is no need for the employee to change pension schemes.
Further Guidance
It is important to recognise that it may be difficult to avoid Auto Enrolment entirely. Therefore, you must be prepared for Auto Enrolment even if you believe it will only impact you in a limited capacity. Guidance from PwC Ireland can be downloaded here.
Munro O'Dwyer, Partner at PwC Ireland, covered the practical side of managing auto-enrolment in a webinar with HR Duo, available on demand.
Auto enrolment pension Ireland: frequently asked questions
Auto-enrolment is a permanent payroll obligation rather than a setup task. Every new starter needs assessing, every notification needs applying, and every opt-out and re-enrolment needs tracking. HR Duo handles that inside payroll so it runs without manual checks each pay run.