The contribution to pension plans has a clear fiscal advantage since it directly reduces the tax base of the income statement, with a maximum of 8,000 euros per year. Taxation at the time of the rescue is, on the other hand, more burdensome since the benefit is taxed at the marginal rate of the taxpayer, much higher than that of savings income. So, the rescue of the pension plan will pay at least 19% and 45% for when the income exceeds 60,000 euros per year. In 2019, and if they end up going ahead the Budgets of the Government, that marginal maximum will rise to 47% for the income that exceeds 130,000 euros.
Hacienda will therefore be waiting at the end of the road for pension plans. "It is a deferral of the payment of taxes", recalls Marcelino Blanco, director of property planning at Andbank. Even so, and although benefits should inevitably be taxed on the marginal, there are formulas to try to reduce the fiscal impact. When it comes to reimbursing the pension plan It is therefore key to sit down to take numbers and see which rescue formula is the most attractive fiscally.
Income or capital
The first dilemma to solve will be to decide if it is rescued in the form of income or capital. The rescue in the form of capital implies that that year, more taxes will necessarily be paid for a notable increase in income, but the ransom as income means that the income subject to taxation will be greater for many years, and also the payment of taxes. . Especially if the income for the pension plan plus the collection of the public pension cause the increase of the marginal rate of the client.
Upon the death of the plan owner, his beneficiary will receive it, who will only pay taxes when he rescues him
"The rescue in the form of income can be advisable as long as it does not rise of section in the declaration of the rent", Explains Marta Nimo, director of the fiscal area of atlCapital. On the other side of the scale, a bail-out in the form of capital raises the taxation punctually, only in the exercise of reimbursement. And it may be more attractive for the taxpayer who receives a very reduced public pension, or who has hardly any income - for not having the right to a pension or, for example, for receiving a pension that is exempt, such as total disability - and therefore below the threshold that releases the declaration, the 12,000 euros per year if there are two payers. This assumption is in fact adjusted to the spouse of a participant who constituted a pension plan in their favor.
The rescue of the pension plan must consider a fiscal benefit that has survived the last reforms: the reduction of 40% on the benefits that correspond to what was contributed until December 31, 2006, if the rescue is in the form of capital. Starting from this reduction, it is convenient to make a simulation of which formula is more advantageous, including a partial rescue. Thus, an option may well be to make a first rescue for the part of the benefit that corresponds to what was contributed up to the aforementioned date, in order to take advantage of the 40% reduction, and leave the rescue of the rest of the plan for later in life. of rent.
It must be remembered in any case that the application of this 40% reduction can only be enjoyed once. It is therefore not possible to record it in successive partial rescues for the contributions made until December 31, 2006.
Reduction with limits
The enjoyment of the aforementioned reduction of 40% on the benefit also has a temporary limitation. As of 2015, it can only be applied - always on the corresponding benefit for what was contributed up to 2007 - in the year in which the plan is rescued or in the following two years. If the owner retired between 2011 and 2014 and has not yet rescued the plan, he has a term of 8 years to do so and note the reduction in the reimbursement in the form of capital. If the retirement - or any other contingency that entitles the plan to be paid, such as unemployment or disability - occurred in 2010, the deadline for rescuing the pension plan entitled to that reduction is December 31 of this year. .
It may seem strange that a participant retires and lets spend years until the rescue of their pension plan. It is not the most common, but that time lag does occur in situations such as managers who receive a prize from the company in retirement - and therefore prefer to delay the rescue -, that of retirees who sell an asset (a house or a package of shares) and thus secure some funds, or that of someone who has been fired and does not resort to the rescue of the private pension plan - despite the fact that long-term unemployment allows early repayment - for having the unemployment and compensation. In such cases, it is important not to lose sight of the moment from which the rescue in the form of capital loses the reduction of 40% for the contributions prior to 2007.
Contribute after the rescue
In the case of the rescue after retirement, it is possible to continue contributing to the private pension plan, although in that case the beneficiary of the benefit may no longer be the owner of the product. For example, if a retiree who rescues part of his plan wants to continue contributing, the benefit will no longer be received by him, unless he enters into a situation of great dependence. Yes, the beneficiary of the plan you have designated at the time of his death may rescue him. Different is the case of an unemployed person who rescued the plan before his retirement. He can continue to make contributions to the plan until he retires and redeem the benefit in his favor.
Private pension plans they are not subject to property taxes nor to inheritance and donations. When the owner of a pension plan dies, the ransom corresponds to the beneficiary that has designated, either his spouse or his heirs. "It is important to look at that point, you always have to designate a beneficiary of the plan," warns Nimo.
The beneficiary of the plan will not pay taxes for the fact that it is so - "pension plans are not inherited," Nimo adds. Yes, you must pay for the plan at your own marginal rate when you redeem it. Meanwhile, you can leave it as is or incorporate it into your own pension plan.
The option of not rescuing the pension plan and leaving it for another beneficiary is in fact an attractive formula for wealthier taxpayers, with which they will thus avoid paying taxes to their heirs.