A Garda on €50k retiring with a lump sum of €75k and an annual pension of €25k, will cost the taxpayer €1.28 million. How many private sector people expect to have a pension worth €1.28 million?
In fairness, you have to subtract the cost of the contributary old age pension to which he is not entitled.
ie. A privatesector worker who saves for a private pension of 15k per year will come out with the same as the garda when you add in his state pension of aprox 10k.
Doesthis mean that the contributary old age pension is worth around €500k? Maybe it is.
(Iknow I am excluding the lump sum)