Additional supplementary pension for self-employed individuals without a company
At the end of July 2016, the Council of Ministers approved a draft law that will soon give the self-employed an extra opportunity to build up a tax-friendly supplementary pension within the second pension pillar: the Pension Convention for the Self-Employed (CPTI/POZ).
At the moment, the self-employed can already build up a tax-friendly supplementary pension with the Individual Pension Entitlement (EIP/IPT) and the Private Supplementary Pension for the Self-Employed (PLCI/VAPZ). However, only the self-employed with a company can combine both systems. Individual Pension Entitlement (EIP/IPT) can only be taken out in the name of a company, and the Private Supplementary Pension for the Self-Employed (PLCI/VAPZ) remains very limited, so that self-employed individuals without a company can only build up a small supplement to their statutory pension.
This will change in 2017 with the introduction of the Pension Convention for the Self-Employed (CPTI/POZ). This system is set up in a similar way to the Individual Pension Entitlement (EIP/IPT) and will give self-employed individuals without a company (such as bakers, butchers and independent professionals) the opportunity to build up a higher supplementary pension on top of the existing options.
We will come back to this as soon as all the details of the final legislation are known.