The year 2017 opens chances for even higher savings in the future and increases the potential for building a solid capital for the “autumn of life”. At a time when so much is being said of the need to gather pension capital independently, the methods of saving under the 3rd pillar of the retirement system are becoming an indispensable element of the individual financial strategy for all of us.
Allowance even higher!
PLN 5,115.60– such is the new limit of contributions to the individual retirement protection account (IKZE). Contributions to IKZE in a given year can be deducted from income in the annual PIT tax return for a given year, offering taxpayers tax allowance that can provide substantial additional savings in the household budget. The maximum contribution to the account in 2017 can therefore bring from ca. PLN 920 to even PLN 1,636.99 of additional cash, depending on the tax bracket applicable to your PIT.* The funds accumulated in IKZE can be withdrawn after reaching the age of 65, provided that contributions have been made to the account during at least 5 years, then a preferential rate of 10% will be applied to the amount withdrawn. You can also withdraw your funds from IKZE earlier – in this case, the amount obtained should be disclosed as income in your annual PIT return.
Stronger IKE capital!
PLN 12,789.00 is the maximum amount which can be contributed in 2017 to the individual retirement account (IKE). This year, the limit is over PLN 600 higher than a year ago. This increases the chances of growing considerable capital for private pension. Saving in IKE allows one to protect the accumulated funds from the capital gains tax called “Belka’s tax” (at 19%), provided the age criterion and the required minimum term of saving in IKE is met.
Important information - read carefully
*Taxation depends on the individual standing of the taxpayer and may change in the future. In order to obtain detailed information and exact calculations of tax advantages, contact a qualified tax advisor.
The legal basis for IKZE and IKE is provided by the Act of 20 April 2004 on Individual Retirement Accounts and Individual Retirement Protection Accounts (consolidated text: Journal of Laws 2016, item 1776).
The Rules of Maintaining Individual Retirement Protection Accounts (IKZE) with Legg Mason Funds and the Rules of Maintaining Individual Retirement Accounts (IKE) with Legg Mason Funds are available at www.leggmason.pl, in selected distribution points, in print in the fund’s office (Warsaw, ul. Bielańska 12), and from other entities authorised to enter in agreements for maintaining IKZE and IKE with Legg Mason Funds.
This material is for promotional purposes only. This material is not an offer within the meaning of the Civil Code, nor a public offering within the meaning of the Act on Public Offering, Conditions Governing the Introduction of Financial Instruments to Organised Trading and Public Companies, nor investment advice, other advice, nor a recommendation to enter in a purchase or sale transaction for any financial instrument, nor other information recommending or suggesting investment strategies.
Legg Mason TFI SA conducts its operations pursuant to the decision issued by the Securities and Exchange Commission, dated 18 June 1998.