Approaching the SFT? Here’s What You Need to Know

High-value pensions could face 40% tax without a proper strategy.

November 17, 2025

Hi ,

The Standard Fund Threshold (SFT) is the maximum amount you can hold in your Irish pension before facing a 40% tax on the excess - and for many, that limit is closer than they think.

If your pension is approaching (or expected to exceed) €2 million, you could be hit with a significant tax bill at retirement — unless you take steps early.

This Wednesday, we’re publishing a detailed guide on the Standard Fund Threshold, how it’s changing, and what to do if your pension is likely to breach the limit.

We’ll cover:

  • The latest SFT updates from Budget 2025 and the Finance Bill

  • How much tax you could be exposed to

  • What unique strategies are available to Irish investors

But if you’d rather not wait…

You can speak to one of our pension advisors today for a free consultation - no cost, no obligation.

They can:

  • Help you assess your current and projected pension value

  • Explain your exposure to the SFT

  • Outline practical options to protect your retirement savings

This is especially relevant for company directors, high earners, and anyone with large defined benefit entitlements.

Talk soon,
The National Pension Helpline Team