Q: What is the Special Savings Incentive Scheme?A: A Government scheme to encourage people to save rather than spend. Each saver can open one account up to April 30th. But financial institutions are warning savers to act well in advance of the official closing date. Accounts must be maintained for five years.

Q: How does it work?

A: Savers will get €1.27 per month for every €5.08 they save. The "free money" will be lodged into their account each month. Savers must choose between deposit accounts or investment accounts. At the end of five years, savers will get back the amount they have saved, plus the Government add-on, plus the interest/investment return earned on the account.

Tax at a rate of 23 per cent will be charged on the interest/ investment return only.

Q: Free money - is there a catch?

A: Savers who withdraw funds during the five years will be punished by a tax charge of 23 per cent on the full amount withdrawn.

Q: Who can open an account?

A: Anyone over 18 years of age resident in the Republic. Savers will have to sign a declaration stating they have only one SSIS account. They must supply their PPSN (personal public service number) - the old RSI number.

Q: How does it work?

A: Savers agree to save between a minimum of €12.70 per month and a maximum of €254.

They will get a tax credit from the Revenue that will add an extra €1.27 for every €5.08 saved - someone saving €50 per month would get an additional €12.50 under the scheme.

Q: What if I cannot keep saving?

A: If you have to stop saving, you could leave the funds in the account and continue to earn interest/investment returns.