In a constantly evolving economic context, marked by an exponential aging of the population and by growing uncertainty in the public pension system , the issue of supplementary pension provision is assuming a central role.
More and more workers and companies are in fact re-evaluating pension planning strategies and the benefits associated with Corporate Welfare as fundamental tools for ensuring long-term security and well-being.
An approach that - if intercepted by companies - would allow not only to improve the financial well-being of employees, but also to strengthen engagement and retention , key elements for business success.
In this article we will explore what “supplementary pension” is, what tax advantages it offers, and why it can represent a concrete opportunity for both employees and employers.
What is supplementary pension provision?
Supplementary or integrative pension provision is a voluntary savings system that supplements the mandatory pension paid by INPS.
It was created with the aim of guaranteeing workers a better or equal standard of living, even after leaving the world of work, trying to bridge the gap between salary and public pension.
There are various forms of supplementary pension provision:
● closed pension funds (intended for categories of workers),
● open pension funds (accessible to all),
● Individual Pension Plans (PIP) , flexible and customizable insurance solutions.
Joining one of these tools allows you to set aside capital that, at the time of retirement, can be converted into an annuity or redeemed.
Tax discipline of contributions and premiums paid: what does the legislation say on the taxation of supplementary pensions?
The Italian legislation on supplementary pensions, mainly regulated by Legislative Decree 252/2005 , provides for a favorable tax regime, both for workers and for businesses.
Contributions paid to pension funds, both by the worker and the employer, are in fact deductible from taxable income up to a maximum of €5,164.57 per year.
This means that the worker can obtain significant tax savings already during the working period.
This set of benefits makes supplementary pension provision one of the most efficient tools for planning future pensions, also optimising the overall tax burden.
But why do we need a supplementary pension today?
Pension GAP and supplementary pension
The term “pension gap” generally refers to the gap between the last salary received during working life and the amount of the public pension, which is received once the activity has ended.
In recent years, due to pension reforms and the adoption of the contributory system, this gap has widened significantly, especially for younger generations and/or for those with discontinuous working careers.
In practice, many workers risk finding themselves, upon retirement, with a pension that is significantly lower than their last salary.
The consequences? A drastic and sudden reduction in the standard of living, with consequent and necessary changes in one's habits but also difficulties in sustaining daily expenses.
Accumulating additional contributions over time in a pension fund allows you to build a supplementary income that, added to the public pension, allows you to face the future with greater serenity and economic autonomy.
How to do?
Supplementary pension and corporate welfare
Supplementary pension provision is increasingly being included in corporate welfare plans today, as a high-value benefit perceived by employees.
Companies that choose to contribute to their employees' pensions demonstrate a particular attention to the long-term well-being of people, demonstrating a desire to also strengthen the bond between employees and the organization.
Through collective agreements or individual agreements, the company can pay additional contributions to workers' pension funds, integrating this possibility into company welfare plans alongside flexible benefits , but not only that!
Within the imposed limits, these contributions do not contribute to the formation of income from employment and are therefore particularly advantageous for both parties involved , both from a fiscal and contributory point of view.
This synergy between Welfare and social security allows us to promote a real culture of pension planning , increasing employee satisfaction and loyalty and promoting the company as a true wellness hub.
Welfare, contributions, pension fund and employee severance pay
A particularly interesting aspect concerns the possibility of allocating the TFR (End of Employment Payment) to supplementary pension provision.
In fact, workers can choose whether to pay their TFR into a specific pension fund, further increasing their pension capital automatically and continuously.
This mechanism allows you to use a resource already contractually provided for to build a supplementary pension, without having to draw on other sources of savings.
Additionally, voluntary or additional employer contributions can also flow into the same fund, contributing to a faster and more substantial accumulation.
From a corporate perspective, transferring TFR to a pension fund also allows for more flexible financial management and, in some cases, an improvement in the financial position.
From the worker's side, however, it means benefiting from higher returns and tax advantages than keeping the TFR in the company.
Supplementary pension and tax benefits: deductibility and preferential taxation
One of the main advantages of supplementary pension provision is - as we were saying - a favorable tax treatment, reserved for both contributions and returns and the final benefit.
● Payments made are deductible from taxable income up to the legal ceiling, with a direct effect on the reduction of income tax .
● Returns earned within the fund are taxed at lower rates than other financial investment instruments.
● When the supplementary pension is paid, the taxation applied is reduced and facilitated , taking into account the years of participation in the fund.
The combination of deductibility and preferential taxation is what makes supplementary pension provision one of the most convenient solutions, even from a strictly economic point of view, strengthening its attractiveness for both self-employed workers and employees and employers.
Welfare and supplementary pension: why it is also convenient for the employer
The use of supplementary pension provision within Corporate Welfare plans is not only advantageous for employees, but also represents a strategic opportunity for companies.
Contributions paid to employees can in fact be deducted from business income, generating tax savings.
Furthermore, offering supplementary pension tools improves employer branding , helping to attract and retain talent in an increasingly competitive job market, but also strengthens the sense of belonging , reduces the turnover and improve the company climate.
From a corporate social responsibility (CSR) perspective, adhering to sustainable pension policies demonstrates a long-term vision and a real commitment to people's well-being .
Supplementary pension provision is today an essential tool to ensure future financial stability, protecting one's standard of living and taking advantage of important tax advantages.
Integrate it into a Corporate strategy Well-structured Wellbeing helps promote an inclusive and sustainable corporate culture, capable of attracting and retaining the best talent.
Integrating it into a well-structured Corporate Welfare strategy can generate significant benefits for both workers and companies.