Compensation Plan

 Higher pension. More security.

State pensions are decreasing – that is no secret. Most likely, it will not be more than 46% of your last net income – which means less money in your pocket. If this will be a problem for you, sign up for the Compensation Plan! The idea: build up a financial buffer and thus compensate for a decreasing state pension.

Five things you should know about the Compensation Plan

1. Purpose of the Compensation Plan.

By making your own contributions, you can do something to boost your pension and compensate for a decreasing state pension.

2. Favorable tax terms – deductions from your gross salary.

Your contributions are deducted directly from your gross income. They are also tax-free, and up to a certain limit, also exempt from all social security contributions. This also means you save on taxes and social security contributions today. The result? You are paying in much less than is actually deposited into your retirement provision.

3. Contributions with leeway. 

You decide how much exactly you want to pay in!  Overall, you can deposit up to 20% of your regular monthly gross income in all schemes together.

4. Flexibility – choose your own contributions.

You decide not only how much but also what you want to contribute! Because the Compensation Plan not only takes cash. You can also make contributions from accrued annual leave and the associate savings scheme to boost your retirement pension. Simply determine your contributions in the Pension Portal and off you go.

5. Tailored participation.

The participation agreement is valid as of September of any year and entered into for a period of 12 months until revocation. This way, you are flexible and can check regularly if you want to change your contributions in the period from 1 June to 5 September of any year. Please remember to enter your changes in the Pension Portal before this time window closes. Our Mars service: We will remind you of this on time, so you can adjust your decision if you wish.