Frequently Asked Questions
What is life insurance and why is it important in Ireland?
Life insurance is a financial protection policy that pays a tax-free lump sum to your family or dependants if you die during the policy term. In Ireland, life insurance is commonly used to protect mortgages, replace lost income, and provide financial security for loved ones. It helps cover everyday living costs, debts, and future expenses such as education. Life insurance is particularly important for families, homeowners, and business owners. Choosing the right level of cover ensures peace of mind and long-term financial stability for those who depend on you.
What types of protection insurance are available in Ireland?
Protection insurance in Ireland includes life insurance, serious illness cover, income protection, and specified illness cover. Life insurance pays out on death, while serious illness cover provides a lump sum if you are diagnosed with a listed illness. Income protection replaces a portion of your income if you cannot work due to illness or injury. These policies help protect your lifestyle, mortgage, and financial commitments. A financial adviser can assess your needs and recommend the most suitable protection combination based on your income, family circumstances, and long-term goals.
How much life insurance cover do I need?
The amount of life insurance you need depends on your income, debts, mortgage balance, family size, and future financial obligations. In Ireland, a common guideline is to have cover equal to 3–5 times your annual income, plus any outstanding mortgage or loans. You should also consider childcare costs, education expenses, and daily living costs for your dependants. A professional financial review helps ensure your cover is adequate, affordable, and aligned with your long-term financial planning objectives.
Why is financial planning important for families in Ireland?
Financial planning helps families protect income, manage household expenses, and plan for future needs such as education and retirement. Life insurance and income protection provide security if illness or death occurs. Pension planning ensures long-term stability, while investments help grow wealth over time. In Ireland, tax-efficient planning is particularly important. A financial adviser helps families structure protection, savings, and investments in a way that adapts as circumstances change.
Life & Protection
What types of pension plans are available in Ireland?
Ireland offers several pension options, including Personal Retirement Savings Accounts (PRSAs), occupational pensions, Executive Pensions, and self-employed pension plans. Each type suits different employment situations and income levels. Contributions usually receive tax relief at your marginal tax rate, subject to limits. Pension funds grow tax-free until retirement, making them highly efficient. Choosing the right pension structure depends on your career, income stability, and retirement goals. Professional pension advice ensures the most suitable solution.
Why is pension planning important in Ireland?
Pension planning is essential to ensure financial security in retirement. The State Pension alone may not provide sufficient income to maintain your desired lifestyle. In Ireland, private pensions allow you to save regularly, benefit from tax relief on contributions, and grow your retirement fund over time. Starting early increases the impact of compound growth and reduces the amount you need to save later. A structured pension plan helps you plan for retirement age, expected income needs, and long-term financial independence.
When can I access my pension in Ireland?
Most pension benefits in Ireland can be accessed from age 60, though this can vary depending on the pension type and employment status. At retirement, you may be entitled to a tax-free lump sum, with the remaining fund used to provide retirement income through an annuity or approved retirement fund (ARF). Early planning helps you understand your options, manage tax efficiently, and ensure your pension supports your desired retirement lifestyle.
Pensions
What financial planning options are available to self-employed individuals in Ireland?
Self-employed individuals can use personal pensions, executive pensions, and income protection to secure their financial future. Pension contributions are tax-deductible, making them one of the most effective ways to reduce tax while saving for retirement. Business owners should also consider life insurance and serious illness cover to protect family and business continuity. Professional advice ensures solutions are structured efficiently and compliant with Irish tax and regulatory rules.
What is the difference between fixed and variable mortgage rates?
A fixed-rate mortgage keeps your interest rate and repayments the same for a set period, providing certainty and protection against rate increases. A variable-rate mortgage can change over time, meaning repayments may rise or fall depending on market conditions or lender decisions. In Ireland, fixed rates are popular for budgeting stability, while variable rates may offer flexibility such as overpayments or switching. Choosing the right rate depends on your financial goals, risk tolerance, and how long you plan to stay in the property.
How does the mortgage process work in Ireland?
The mortgage process in Ireland typically starts with a financial assessment and mortgage approval in principle. This is followed by house hunting, property valuation, and full loan approval. Once contracts are signed, funds are drawn down and the mortgage begins. Mortgage lenders assess income, savings, credit history, and loan-to-value ratios under Central Bank lending rules. Using a mortgage broker gives access to multiple lenders, expert guidance, and support throughout the entire process, helping you secure the most suitable mortgage for your circumstances.
How much deposit do I need for a mortgage in Ireland?
In Ireland, first-time buyers generally need a minimum deposit of 10% of the property purchase price, while second-time buyers usually require 20%. Buy-to-let properties typically require higher deposits. Deposit requirements are set by Central Bank mortgage rules and can change over time. Additional costs such as legal fees, stamp duty, and valuation fees should also be budgeted for. Careful savings planning and professional mortgage advice can help you prepare effectively and improve your mortgage approval prospects.
Mortgages
How much can a buyer borrow?
Under Central Bank lending rules, buyers in Ireland can usually borrow up to 3.5 times their gross annual income. This limit applies to the total household income for joint applications. Lenders also assess affordability, job stability, existing debts, and savings behaviour. Some exemptions may be available in limited cases. Senna Brokers reviews your full financial profile and identifies lenders most likely to approve your application.
First Time-Buyers
How can a first-time buyer prepare financially for a mortgage in Ireland?
First-time buyers should focus on saving a minimum 10% deposit, maintaining stable employment, and managing monthly spending. Lenders assess income, repayment capacity, and savings behaviour. You should also budget for legal fees, valuation costs, and stamp duty. Mortgage protection and life insurance are mandatory with most lenders. Working with a mortgage broker gives first-time buyers access to multiple lenders, clearer guidance on Central Bank rules, and support throughout the application process.
How much can a first-time buyer borrow?
Under Central Bank lending rules, first-time buyers in Ireland can usually borrow up to 4 times their gross annual income. This limit applies to the total household income for joint applications. Lenders also assess affordability, job stability, existing debts, and savings behaviour. Some exemptions may be available in limited cases. A mortgage broker reviews your full financial profile and identifies lenders most likely to approve your application.
What government schemes are available in Ireland for first-time buyers?
First-time buyers in Ireland may be eligible for several government supports. These include the Help to Buy (HTB) scheme, which provides a tax rebate of up to 10% of the purchase price for new-build homes, and the First Home Scheme (FHS), which helps bridge the gap between your mortgage, deposit, and the property price. Some buyers may also qualify for local authority home loans. Eligibility depends on income limits, property value, and location. Professional mortgage advice from Senna Brokers helps determine which schemes you can use.
Does a mortgage broker apply for government schemes on my behalf?
A Senna Brokers will guide you through the process and explain which government schemes you may qualify for, such as Help to Buy or the First Home Scheme. While the formal application for these schemes is made directly by the buyer through the relevant government portals, your broker will assist with documentation, confirm lender compatibility, and ensure your mortgage application aligns with the scheme requirements. This support helps reduce errors, delays, and the risk of mortgage approval issues.
Where do I apply for the Help to Buy (HTB) scheme in Ireland?
You apply for the Help to Buy (HTB) scheme through Revenue’s online services using your myAccount (or ROS if self-employed). The application is completed online and allows Revenue to assess your income tax and DIRT paid over the previous four years. Once approved, you will receive a Help to Buy approval code, which is provided to your lender and solicitor. A mortgage broker will guide you through the process, confirm eligibility, and ensure the HTB approval aligns correctly with your mortgage application.
Where do I apply for the First Home Scheme (FHS) in Ireland?
You apply for the First Home Scheme directly through the official First Home Scheme online portal. The application is made after you have mortgage approval in principle and a property identified. The scheme provides shared equity funding to help bridge the gap between your mortgage, deposit, and the purchase price. While the application is submitted by the buyer, Senna Brokers will explain how the scheme works, confirm lender participation, and ensure your mortgage structure meets the First Home Scheme requirements.
What documents do first-time buyers need for a mortgage application?
First-time buyers typically need proof of identity, recent payslips, employment details, bank statements, savings records, and proof of deposit. Lenders may also request tax documents or social welfare statements if applicable. Providing accurate and complete documentation is essential for approval. A Senna Brokers will prepare and review your documents before submission, helping to avoid delays and improve your chances of securing mortgage approval.
How much should I keep in savings?
A common guideline is to keep three to six months’ essential living expenses in easily accessible savings. This emergency fund helps cover unexpected costs such as medical bills, home repairs, or temporary loss of income. Beyond this, additional savings can be allocated to medium- or long-term goals or invested for growth. Reviewing your savings regularly ensures your money is working efficiently while remaining available when needed.
What are the best savings options in Ireland?
Savings options in Ireland include demand deposit accounts, notice accounts, fixed-term savings, credit union accounts, and prize bonds. Each option offers different levels of access, interest rates, and security. Fixed-term accounts typically provide higher returns but restrict access to funds. Savings accounts are suitable for emergency funds, short-term goals, or planned expenses. Choosing the right savings vehicle depends on how quickly you need access to your money and your tolerance for tying funds away for higher interest.
Are savings accounts taxed in Ireland?
Yes, interest earned on savings in Ireland is generally subject to Deposit Interest Retention Tax (DIRT). The tax is typically deducted automatically by the financial institution before interest is paid. Certain exemptions or reduced rates may apply in specific circumstances. Understanding how DIRT impacts your returns helps you compare savings options accurately. For longer-term objectives, alternative financial solutions may offer greater tax efficiency, depending on your personal situation.
Investments & Savings
What investment options are available in Ireland?
Investment options in Ireland include unit-linked funds, shares, bonds, exchange-traded funds (ETFs), investment trusts, and managed portfolios. These can be accessed through lump-sum investments or regular monthly contributions. Irish investors can also use tax-efficient structures such as life assurance investment bonds. The right investment depends on your risk tolerance, time horizon, and financial goals. A diversified investment strategy helps manage risk while aiming for long-term growth. Professional advice ensures your investments align with Irish tax rules and market conditions.
Are investments taxed in Ireland?
Yes, investments in Ireland are subject to taxation, but the rules depend on the investment type. Life assurance investment funds are generally subject to exit tax, while shares and ETFs may be liable for capital gains tax or income tax. Pensions benefit from favourable tax treatment, making them one of the most tax-efficient investment vehicles. Understanding Irish investment taxation is complex, and professional advice helps ensure compliance while maximising after-tax returns through appropriate investment selection and planning.
How does investment risk work?
Investment risk refers to the possibility that returns may be lower than expected or that capital could fall in value. In Ireland, investments are typically categorised from low to high risk, depending on asset type and market exposure. Higher-risk investments may offer greater long-term growth potential but can fluctuate more in the short term. Lower-risk investments are generally more stable but may deliver lower returns. Understanding your risk profile is essential when building an investment strategy that matches your financial objectives and comfort level.
How much does the financial advice cost?
Our initial consultations are for free at which we identify financial goals and provide brief solutions. Further works consist of research and detailed recommendations. Our clients have a choice to either pay us directly or allow us to be compensated in a form of a commission from the product provider or combination of both. Details are enclosed in our Terms of Business and Remuneration pages.
What services Senna Brokers provide?
Senna Brokers provide services in relation to Life & Protection, Pensions, Mortgages, Investments, Savings, Financial and Retirement planning and general Financial Advice. We help individuals and business owners to achieve financial goals and tax efficiencies.
Is Senna Brokers regulated intermediary, broker in Ireland?
Yes, Senna Brokers Limited trading as Senna Brokers is regulated by the Central Bank of Ireland (CBI). CBI references: C540894. Senna Brokers is authorised under three licences:
Life Assurance products: European Union (Insurance Distribution) Regulations, 2018 - IDR
Investment products: Section 10 of the Investment Intermediary Act, 1995 (as amended) - IIA
Mortgage products: Regulation 30 of the European Union (Consumer Mortgage Credit Agreements) Regulation 2016 - CMCAR and Section 116 of the Consumer Credit Act 1995 - CCA
Our Services
Why should I use a broker instead of going directly to a bank or insurer?
Using Senna Brokers gives you access to expert advice and a wider range of products. Senna Brokers compare multiple providers, explain complex terms, and help you choose the most suitable option rather than a single provider’s offering. In Ireland, brokers also manage paperwork, liaise with lenders or insurers, and guide you through regulatory requirements. This can save time, reduce risk, and improve financial outcomes by ensuring decisions are aligned with your goals and Central Bank regulations.
Is Senna Brokers an "independent broker" in Ireland?
Senna Brokers is an "Impartial broker", meaning that we act in the best interest of our clients. The "independent" word is not appropriate to use since Senna Brokers mostly gets paid in a form of commission from the product provider, hence the service is not independednt.
What does a financial broker do in Ireland?
A financial broker in Ireland acts as an intermediary between clients and financial product providers. Brokers assess your financial situation and recommend suitable solutions for mortgages, insurance, pensions, investments, and savings. Unlike dealing directly with a single provider, a broker compares options from multiple lenders and insurers. Financial brokers in Ireland are regulated by the Central Bank of Ireland and must act in the client’s best interests, providing transparent, compliant, and professional advice tailored to individual circumstances.