Benefits for you as an employer
- Tax optimization: lower social contributions and deductibility of the paid premiums.
- Talent retention: by investing in employees' pensions, you increase their loyalty and engagement.
- Flexibility: the bonus plan can be linked to individual performance or company results.
Benefits for your employees
- More net benefit: the bonus is not taxed as gross salary, so more is left over net.
- Supplementary pension accrual: the bonus contributes to the employee’s personal pension capital, which is important given the limited statutory pension.
- Accessibility: under certain conditions, the employee can take an advance, for example to buy a home.
How to get started?
As an employer, you determine the eligibility criteria yourself, provided they comply with the anti-discrimination provisions of the Supplementary Pensions Act.
The conditions for granting the bonus, as well as the amount, must be clearly and unambiguously outlined in the pension plan. The granting of a supplementary pension may not depend on a personal assessment by the employer or the pension institution.
The calculation of the contributions must be based on objective parameters, such as whether or not pre-established targets have been achieved. These criteria must be clearly described in the pension plan.
The premiums paid into the bonus plan are invested for the long term. Depending on the risk profile, you can choose an investment with or without a guaranteed return.
Do you have questions or would you like a no-obligation assessment? Our experts are happy to provide you with tailored advice.
