Glossary of pension terms

Choose a letter below to jump to glossary terms beginning with that letter.



Managed fund

Funds managed for you by others namely, investment professionals such as fund managers. Managed funds can invest in a variety of assets including shares, property and bonds or a combination of these.

Marital status ground (now civil status ground)

In the context of the principle of equal pension treatment, the civil status ground is one of the nine discriminatory grounds set out in the Pensions Act. Discrimination by reference to an individual’s civil status is discrimination on the civil status ground. Civil status means being single, married, separated, divorced, widowed, in a civil partnership or being a former civil partner in a civil partnership that has ended by death or been dissolved.

Master trust

A master trust, also known as a multi-employer pension scheme, is a scheme typically set up by a pension company (founder) and used by two or more employers to provide retirement benefits for their employees. The multiple employers, and their employees who opt to join, pay contributions to the master trust. Different contribution rates can apply for different employers.

The trustees of the master trust are responsible for ensuring the master trust is operated in accordance with the Pensions Act and the Pensions Authority’s Code of Practice for trustees.

Maximum approvable benefits

The maximum benefit which Revenue will permit to be paid under an approved pension scheme to an individual, taking account of factors such as remuneration and service completed. Further information can be found in the Revenue Pensions Manual.

Member

A person who has been admitted to membership of a pension scheme and who remains entitled to benefits under the scheme. This includes active members, deferred pensioners and pensioners.

Member (selected) trustees

A person selected by qualified members for appointment as a trustee in accordance with the ‘standard arrangement’ or a person whose selection is approved by qualified members for appointment as a trustee in accordance with the ‘alternative arrangement’ or a person selected to fill a trustee vacancy in accordance with the ‘casual vacancies’ provisions.

Member civil partner

In the context of a pension adjustment order granted under the Civil Partnership and Certain Rights and Obligations of Cohabitants Act, 2010, the civil partner who is a member of the pension scheme or arrangement from which the order is being sought.

Member engagement policy

Trustees of a pension scheme must prepare a written policy setting out how they will engage with members. The policy must cover the objective of each communication, the circumstances in which the communication takes place, the frequency of same and the form of communication to be used. For master trusts, the engagement policy must cover engagement with employers as well as members. For further information, see the Pensions Authority’s Code of Practice for trustees.

Member qualified cohabitant

In the context of a pension adjustment order granted under the Civil Partnership and Certain Rights and Obligations of Cohabitants Act, 2010, the qualified cohabitant who is a member of the pension scheme or arrangement from which the order is being sought.

Member spouse

In the context of a pensions adjustment order made under the Family Law Act, 1995 (for judicial separation) or the Family Law (Divorce) Act, 1996, the spouse who is the member of the pension scheme or arrangement from which the order is being sought.

Member State

Member State means a Member State of the European Union or a state which is a contracting party to the Agreement on the European Economic Area.

Money purchase scheme

Another name for a defined contribution pension scheme.

Money purchase underpin

An arrangement in a defined benefit pension scheme whereby a certain minimum benefit accrues on a defined contribution basis. Usually of benefit to early leavers.