What is an approved Minimum Retirement Fund (AMRF)?


In order to establish an ARF you must have a guaranteed income for life of €12,700 per year (from sources other than your ARF investment). If you do not meet this requirement, you can still invest in an ARF, but you must also open an Approved Minimum Retirement Fund (AMRF) or purchase an annuity. Where you choose to invest in an AMRF then the minimum amount to be invested in the AMRF is €63,500. The holder of an AMRF may access up to a maximum of 4% of the value of the AMRF each year as a taxable distribution subject to PAYE. However, each individual can only have one AMRF.  

An AMRF is similar to an ARF except that the capital invested in the AMRF is not subject to an imputed distribution (please see ‘Imputed Distributions’ on page 6) until the individual is aged 75 years. Upon reaching the age of 75, or upon death, the AMRF automatically converts into an ARF. The AMRF can be  invested in the same manner as the main ARF. 


Before you invest in an ARF, you must either: 

  • Have a guaranteed income of at least €12,700* a year, or 
  • Set aside €63,500* of your pension fund to invest in an AMRF or buy a pension (annuity). 

* These amounts and the valuation dates may change as specified by the Irish Revenue Commissioners. 

The information is correct as at November 2016. 




ARFs are operated by certain Qualifying Funds Managers (QFMs). The role of the QFM is to ensure your  ARF is managed in line with the prevailing Irish Revenue Commissioner’s guidelines and legislation and  to account for any tax that may be due on distributions. QCE is a registered QFM and your ARF will be  held in your name by QCE as the QFM. You will remain the beneficial owner of all assets in your ARF. 


Only certain funds can be transferred into an ARF. These are those arising from: • A Personal Pension Plan (i.e. a retirement annuity approved under Section 784, TCA 1997) • A Personal Retirement Savings Account (PRSA) 

  • A defined contribution occupational pension scheme 
  • AVCs 
  • Buy Out Bonds 
  • Proprietary director membership of a defined benefit occupational pension scheme 


The full value of your QCE ARF may be transferred to another ARF held by you with a different QFM,  without triggering a taxable distribution. 



  • You keep control over your pension fund. 
  • We invest for you in a broad range of asset classes ensuring your portfolio is appropriately diversified and meets your investment objectives and personal risk requirements. 
  • You have the flexibility to choose the level of income you want to withdraw each year. • Any growth in your ARF is tax free, but withdrawals are taxable. 
  • You can use your ARF to buy an annuity at a later date.



To prevent an indefinite accumulation of funds, the Irish Revenue Commissioners introduced an imputed  distribution. In simple terms, an imputed distribution is treated as a notional withdrawal from the ARF,  although no actual withdrawal has been made, which means that PAYE will be payable on the amount  which is assumed to be taken out of the ARF by you. The rate on an imputed distribution amount is:  

  • 4% for individuals with combined ARF and vested PRSA assets less than €2 million and who are between 60 and 69 for the full tax year*; 
  • 5% for individuals with combined ARF and vested PRSA assets less than €2 million and who are 70 or over for the full tax year*; 
  • 6% for individuals with combined ARF and vested PRSA assets more than €2 million and who are 60 or over for the full tax year*. 

Actual distributions made during the year from the ARF may be deducted from the imputed distribution  to end up with a net imputed amount, if any. 

* These figures are correct as at November 2016 


It is important to note that in the event of the death of the ARF owner, the ARF itself does not ‘die’ but  legal ownership of the ARF fund passes to the deceased’s personal representatives. The tax treatment  of an ARF on death will depend on whom the ARF/AMRF assets are being passed to. 

ARF/AMRF inherited by Income tax due Inheritance tax 

Surviving spouse/civil partner No, where transferred into  


an ARF of the surviving  

spouse/civil partner. However,  

subsequent withdrawals by  

your spouse/civil partner are  

treated as income paid to them  

and taxed under the PAYE  


Child aged 21+ at date of your  death 

Child aged less than 21 at date  of your death 

Yes – 30%. No. 

No. Yes. Normal inheritance tax  rules will apply. 

Others (anyone else not being  your surviving spouse or  children) 

Yes. This will be treated as a  distribution by the deceased in  his/her year of death. 

Yes. Normal inheritance tax  rules will apply.




You should remember that the value of investments in your ARF/AMRF, and the income from them, can go down as well as up. 

In addition, you should take into consideration that the funds in your ARF/AMRF may run out if they grow at a slower rate than the level of drawdown or income you take. Therefore, you may be left with no available income from your ARF/AMRF. As you are deferring the purchase of an annuity, the rates available when you do come to purchase it may not be the same as those available when you chose to invest in the ARF. 

Please also read the Risk Disclosures in Annex 1 to the QCE client terms and conditions. 


Neville & Partners does charge set-up or transfer fees . There is an annual management fee for discretionary  portfolios.  

In all cases, other fees may apply. P 

WARNING: The information contained herein is in line with current Irish Pension legislation and Irish  Revenue Commissioner guidelines. It is not comprehensive and is for information purposes only. The  information is subject to change without notice and is not a substitute for professional advice. Please  consult your financial advisor for the rules that apply in your individual circumstances. This is not  applicable to UK residents. 

The information contained herein does not purport to be comprehensive, all inclusive or to contain all of  the information that a prospective investor might reasonably require in considering the Investment. It is  strictly for information purposes only and must be read in conjunction with your Application Pack. No one  in receipt of this document shall treat any of its contents as constituting advice or a recommendation in  any way. In addition, the information contained herein is based on our understanding of current tax  legislation in Ireland and the current Irish Revenue Commissioner interpretation thereof and is subject to  change without notice. It is intended as a guide only and does not constitute tax or legal advice and  therefore is not a substitute for professional advice. You should consult your tax adviser for the rules that  apply in your individual circumstances. 

Some of the information contained in this document has been obtained from published sources or has  been prepared by third parties. While such sources are believed to be reliable, Quilter Cheviot shall have  no liability, contingent or otherwise, to the user or to third parties, for the quality, accuracy, timeliness,  continued availability or completeness of same, or for any special, indirect, incidental or consequential  damages which may be experienced because of the use of the data or statements made available herein.  As a general matter, information set forth herein has not been updated through the date hereof and is  subject to change without notice.