Consumer rights explained: I'm worried I can't afford to contribute to a pension. What should I do?
Q: Money is really tight at the moment, and I rarely have anything left over at the end of the month. I've recently been automatically enrolled into My Future Fund through work, and while I know saving for retirement is important, I'm worried I simply can't afford the extra deduction from my wages right now. Should I opt out, or would I be making a mistake that I'll regret later?
Keith, Dublin
This is a really difficult one. With the cost of living, lots of people are feeling the pinch and looking for ways to save where they can. However, you need to think very carefully about opting out of the new auto-enrolment scheme because it will massively impact your financial circumstances when you retire.
My Future Fund, which was launched in Ireland on 1 January 2026, automatically enrols eligible employees who aren’t already paying into a pension. Contributions from you, your employer, and the Government are invested to help your savings grow over time.
You can choose to leave the scheme after six months, but before you do, it's worth noting what you'd be giving up. For example, on a salary of €45,000, the contribution starts at around €13 a week from your pay. The real value comes from the money added on top. Your employer matches your contribution, and the Government contributes too. So, for every €13 you put in, around €30 is invested in your pension.
In short, you're not saving alone. Every contribution is boosted by both your employer and the Government, helping your retirement savings grow faster and strengthening your long-term financial security.
When you save with MyFutureFund, your money is invested in a diversified mix of funds designed to help it grow over the long term. As with any retirement investment, the value of your savings will change over time, but staying invested gives your money the opportunity to benefit from long-term growth.
A key advantage is compound growth. Any returns earned by your fund are automatically reinvested, allowing your savings to build upon themselves year after year.
However, if, despite the benefits, you still want to leave the scheme, you must act within the two-month window that opens after your first six months of enrolment. So, if you enrolled in January, you have until the end of August to opt out. After that, opting out is no longer possible, but don’t worry, because you can pause contributions at any time.
So, the real question is whether contributing to your future is worth the strain today? If you’re not in arrears but feel stretched, it may help to review your spending before giving up the pension contributions. The CCPC spending calculator can highlight costs you may not actively track or budget for.
Saving for the future is never easy when the present feels tight, but understanding the full value of the employer and Government contributions can help you make a more informed decision. Whatever you choose, the most important thing is that the decision supports both your current stability and your long-term financial situation.
Originally published in the Sunday Independent on 26 July 2026: Your questions answered on Irish consumer rights | Irish Independent
