Save in Employee Capital Plans
Saving collectively pays off! Check why it is worth thinking about the future today and starting saving in ECPs.
It's Worth Being in ECPs
Employee Capital Plans (ECPs) is a comprehensive and widespread long-term savings system based on simple and transparent principles. Its main goal is to build financial security for the period after the end of professional activity, and its key advantage is that the employer and the state save together with you in the program. This allows you to save faster and more.
The funds accumulated in ECPs are your private property. It is most beneficial to withdraw them after the age of 60, ensuring additional funds for yourself and your family. If you do not use them, your savings will be subject to inheritance.
Join ECPs and let your savings work for your future.
Advantage of the ECPs
The main advantage of the ECP is the possibility of more efficient savings for the future. With your employer's contributions and state subsidies, you can save more. Moreover, all your money is invested, so you work for you at all times.
Tripartite character of contributions
Funds saved on an ECP account come from three sources: the employee, the employer and the State.
Privacy and funds subject to inheritance
All funds accumulated on the PPK account are owned b the participant who may use them at any time.
Exemption from capital gains tax
You will not pay capital gains tax from the profits earnedby investment funds.
Common system
All employees between 18 and 70 who are subject to compulsory old-age and disability pension insurance can participate in the program.
Investing your funds
All funds accumulated in ECP are invested in target-date funds and its investment policy is systematically adjusted to the changing age of the participants.
Financial security
The most profitable is to withdraw your savings after exceeding the age of 60, ensuring you extra money at the end of professional activity.
Who contributes to PPK and how much?
Contributions to your PPK account come from 3 sources.
Each month, a base payment of 2% of your salary will be deducted from your salary. You can increase it to 4%. Your employer will contribute at least 1.5%, but may increase its contribution to 4%.
Savings paid by the employee and the employer will be supplemented by regular contributions from the State. Each participant will receive for their individual account an additional PLN 240. Moreover, at the beginning employees will receive one-off welcome payment of PLN 250.
How to join the ECPs?
You can join the ECPs if you are 18 to 70 years old and are obligatorily subject to the retirement pension and disability pension. Depending on the age group, the method of enrolling in the program differs:
- Subsequently it automatically subscribes the employees to this programme that are above the age of 18 but below 55
- If you are a person that is above the age of 55 but below 70 years old, you can submit the application on joining the programme to you employer.
Saving in PPK is voluntary. You can resign from participation in the program and join it again at any time.
Join the millions of PECPs participants and take care of your future!
Since I joined ECPs, I can feel more confident about my future. It's my financial cushion for retirement.
With ECPs, I can see my savings growing steadily. This allows me to better plan for the future.
Subsidies from the employer and the state significantly accelerate the growth of my savings. ECPs is a great choice!
When you are making a withdrawal as part of your ECP account return, bear in mind that this is less advantageous than a withdrawal after age 60, as you will return all the surcharges from the state, which are a reward for long-term saving, and the employer-funded funds, before the return, will be reduced by 30%. In addition, capital gains tax will be paid on the investment gain.
Take control of your finances!
Understanding ECP Investment Strategy
Funds in the ECP are invested in target-date subfunds, which are also called life cycle subfunds, within the PFR PPK Specialised Open Investment Fund. We have established 9 life cycle subfunds of the differentiated investment policy, adjusted to the age of the participants.
The target date of the subfund, which is also called the target year, is indicated by its name. This is the date on which persons born in the year constituting the middle of the range of years in which employees for whom the given subfund is intended were born turn 60. The participants are automatically assigned to the appropriate subfund depending on their age, but they can change it free of charge at any moment and without limitations or divide the funds between different subfunds.
Detailed information about individual subfunds, as well as key information, can be found in the investment funds tab.
How to check the balance of ECPs account?
Using the IAT FI system you may track on an ongoing basis the balance of savings and the history of payments on their ECP accounts, including annual contributions and the welcome payment from the state, as well as other transactions made at the participant’s request.
You will gain access to the website after your employer registers you for ECP.
If you are already a participant of the ECP operated by PFR TFI, you can log in to the IAT FI website here.
IAT FI – Full online service for each participant of ECP
Usefull tools
Check how much you can save with ECP.
Log in to check balance of your ECP account.
Current results of PFR PPK SFIO subfunds.
Media
You are looking for information about PPK in the form of short videos or online training. Here you will find interesting materials.
What are Employee Capital Plans?
Employee Capital Plans are the voluntary long-term saving programme. Payments to Employee Capital Plans account will come from three sources: from you - employee, your employer, and state.
How to join Employee Capital Plans?
When your employer should establish ECP? How can you sign up for the program? You will learn the answers to the above questions in the video.
When you can withdraw your savings?
Funds collected on the ECP account are the private. Therefore, you can use them at any time.
How your funds are invested in ECP?
Contributions paid to the ECP are invested in target-date funds based on a life cycle model which automatically adjusts the structure of the invested capital to the age of the participant.
How to use the online service for ECPs participants?
The IAT FI system is a modern, intuitive tool that provides ECPs participants with constant access to the account. Thanks to it, you can, among others: check your account balance, view account history, place orders. In this video you will learn how to use the system.
It's worth to know about ECPs
Do you want to learn more about ECPs? To enable you to discover all the benefits of the program and to facilitate the use of all its possibilities, we have created a knowledge center about PPK, where our experts answer the most frequently asked questions about PPK and explain practical aspects related to the implementation and operation of the program. Here you will also find the necessary instructions and document templates.
To download
Do you need more detailed information or maybe you are looking for document templates? We have prepared a set of the most important files for you.
Check out what you need to know about ECP.
The IAT FI service is a modern and secure tool for permanent access to your PPK account. Check out how to use it.
Here you can find detailed information on the rights of the participant, the investment policy and the risk involved in investing.
Click the button below to find out more.
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