Pension reform biggest hit for high earners

THE impact of the pension reforms is the biggest hit high earners will take as a result of the budget.

The loss in terms of tax breaks could be as much as €1,500 per month when the full impact of the reforms kick in over the four years to 2014.

The implications are so severe a lot of people in the high-income category may be forced to “turn to alternative means of savings for their retirement,” said Susan Lynch, tax director with Ernst & Young.