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A deferred compensation in accordance with § 3 No. 63 EStG is tax-free for the bAV (Company Pension). As an employee, you pay your contributions for the company pension savings plan directly from your gross income, i.e. before tax and social security contributions. The advantage: You only have to pay tax on a small part of your income. You can pay up to EUR 564 per month into the occupational pension plan tax-free. If you want to save more, every additional euro must be taxed.
At Horizon65 we can help you to determine if company pensions are worth it for you by using our mobile app to simulate its effect on your future taking into your existing investments and potential impact of inflation and taxation.
We regularly help our clients by comparing all the available company pension products on the market using our comparison portal or you can also directly get in touch with our experts to understand if it can be a good option for you.