Self-employed workers pension plan
- Extra savings for your retirement.
- Tax relief on each contribution made.
Why take out your pension plan for self-employed workers?
Occident's Pension Plan for self-employed workers has been designed for self-employed workers who wish to build an additional capital for their retirement, thus supplementing their pension and enjoying tax benefits while making their contributions.
Taxation and returns on pension plans for self-employed workers
Tax
The self-employed worker can make contributions to their pension plan up to a maximum of €5,750, of which:
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The first €1,500 can be contributed to both individual pension plans and simplified employment pension plans for self-employed workers.
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The remaining €4,250 can only be contributed to simplified employment pension plans.
What is the maximum that can be deducted?
The participant may deduct from their income (taxable income) the total amount of the contribution they make, up to a limit of 30% of the sum of net income from work and economic activities received individually, as long as this does not result in a negative taxable income.
In this case, this excess can be used to reduce the tax base for the following five years with the same limit.
Performance
The performance of a self-employed worker's pension plan will depend on the returns on the assets in which the plan is invested. Based on the fund's investment policy, the fund will invest in money market assets, fixed income (debt), equities or a combination of these.
FAQs
If you have planned well, it is always advisable to receive a regular income. If you need to collect all the capital at once to save on tax, it is preferable to collect it in the year after retirement. This means that in the year in which you receive it, your income is lower than when you were working and therefore has a positive tax effect.
Yes, self-employed workers can make voluntary contributions to plans they have taken out, provided they respect the given limit.
If you wish to take out an Occident pension plan for self-employed workers, you just need to prove your status as a self-employed worker and request to join the plan.
You will be able to maintain your vested rights in the pension plan and obtain the same return as the other participants and beneficiaries, but you will become a suspended participant and you will not be able to make contributions from that moment.