Your employees may decide to accumulate in the 2nd pillar pension funds to receive an extra income on top of their regular retirement pension. The employee’s contribution to the 2nd pillar totals for 3% of the gross earnings, while the Government provides additional incentive of up to 1,5% of the national average wage the year before last. Amounts to the pension fund are transferred by the employer, together with other social insurance contributions.
3rd pillar pension funds allow an employee to voluntarily accumulate for his or her retirement age. To do this, an employee needs to sign a 3rd pillar pension agreement with a chosen pension fund. Contributions to this pension fund can be made by the employee, his / her family members or an employer. The accumulated amounts are owned by the employee and can be inherited upon his or her death. Employee’s contributions to the 3rd pillar pension fund are subject to a personal income tax exemption.
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It might take from a couple of minutes to a couple of hours depending on your needs. Steps to set up your account properly: 1. Contact us and we will create an account for your organization; 2. Configure your organization structure: create departments, company groups, employee groups; 3. Add and set up your employee benefits; […]