What Are The Benefits of PPS?
Comfortable Life After Retirement
Do you think the pension you will be paid by the Social Security Institution will be enough for you to maintain your current standard of living during your retirement? PPS was founded serve as a complementary private pension model to the mandatory social security system, and the goal of this system is to provide you with supplementary income during your retirement years and help you maintain your standard of living.
All the elements of the system are fully controlled. The operations of your pension company and those of pension funds and their managers are audited and supervised by the Undersecretariat of Treasury and the Capital Market Board, respectively, at least once a year. In addition, your pension company is legally required to be audited by an independent audit firm at least once a year, while the accounts and transactions of pension funds are legally subject to independent audit on a quarterly basis. The day-to-day operations of pension companies are also monitored by the Pension Monitoring Centre (PMC) in an electronic environment.
Your personal pension accounts are held in safe custody by Takasbank (Settlement and Custody Bank Inc.). Through these accounts, you can track your shares in various funds.
Proceeds from pension investment funds are exempt from withholding tax.
The amount corresponding to 25% of the contributions paid in your name, excluding those paid by your employer, shall be followed-up apart from your accounts as state contribution. The limitation of state contribution amount is the portion out of the sum of contributions paid in a calendar year, which is taken as basis for calculation of state contribution. This corresponds to the total amount accrued during the calculation period for the minimum wage applicable on the date when the calculation period for the relevant calendar year ends.
Right to Participate in Decision-making Processes Affecting Your Pension Benefits
Within the framework of your pension plan, you have the right to select the funds in which to invest your savings and change them for a maximum of 6 times per contract year, depending on the level of risk you are willing to take.
Access to Services Offered by Licensed Private Pension Intermediaries
The private pension system is promoted and offered for sale only by private pension intermediaries who possess the legally required professional qualifications and have passed the required licensing test.
Right to Suspend Contributions
If your financial condition deteriorates any time during your plan years, you may suspend your pension account.
Right to Transfer Pension Account to Another Pension Company
If your contract is executed with our company, the contract is required to be retained by us for min. 2 years following the contract enforcement date for entitlement to be transferred to another pension company.
If your contract is drawn up through transfer from another pension company, this retainment period is min. 1 year to be re-transferred.