[F32][Business] Pension plans - Company social welfare plan
VidaCaixa offers, through its Company Social Welfare Plan, a plan that is easy to contract and manage, which outsources the pension commitments that the company has with its workers, and that brings benefits for all parties.
This is a plan with assured returns, offering a guaranteed interest rate at the moment of being paid.
- It is a simple product and easy to implement
- It provides peace of mind, because it eliminates the possibility of losses when it comes to the payment of benefits
- It has a guaranteed interest rate
- It offers the best possible return
- It optimises tax returns on savings
[F32][Business] Pension plans - Company social welfare plan - What does it offer?
What does the Company Social Welfare Plan offer?
- Solutions tailored to each client
Although the primary cover is retirement, you may contract other contingencies, such as:
- Total and permanent disability for the usual occupation of the insured.
- Total, permanent disability for any type of work.
- Severe disability.
The Company Social Welfare Plan allows for the benefits to be paid in different ways at due date:
- Life or temporary annuity.
- Capital lump sum.
- A combination of both.
- Peace of mind on seeing the savings grow
It offers a guaranteed interest on contributions and therefore provides a no-risk guarantee of the growth of the insured's savings up to the retirement date. The uncertainties of the markets, both in variable and fixed income, at the moment of benefit payment do not exist.
Thus, employees will have the peace of mind of at all times, knowing the amount of capital lump sum and / or annuity to be obtained at the time of retirement.
- Professional investment policy
This product provides a double guarantee that resides both in the solvency of the insurer and the quality of the investment assets.
It offers different types of interest:
- Guaranteed minimum interest rate plus a share of profits based on investment returns.
- Higher guaranteed interest rate, taking advantage of the market rates over the long term.
- Lower cost, higher return
Unlike other company social welfare products, the Company Social Welfare Plan (CSWP) is fast, easy to implement and simple to manage.
- It eliminates administrative and bureaucratic procedures (it does not require reports, actuarial audits or annual financial statements), as well as the need for periodic investment management meetings to oversee how the plan is progressing.
- The insurer's professional management of the investment entails lower fixed costs.
- Complete investment security
Company contributions on behalf of employees are irrevocable, becoming part of the employees' assets and therefore cannot be subject to redemption by the company.
The Company Social Welfare Plans are under the supervision of the Directorate General of Insurance and Pension Funds, in accordance to the provisions of current legislation (RD 1/2002).
- Favourable tax conditions
- For the employee:
As is the case with pension plans, the contributions are 100% deductible from the taxable base of the income tax. The benefits derived from the death of the insured will be taxed as income from work.
- For the company:
The contributions made by the company to its employees are not included in Social Security calculations, are exempt from income tax and are considered tax-deductible costs.
- For the employee:
- Transparency and regular information
Through e-Management, the company may consult and manage the contract through the Internet and have access to contributions status and policy information update.
Moreover, the company and its employees will be periodically informed of the plan's progress: such as contributions, in accordance with the provisions of current legislation (RD 1/2002).