Annuity
If you have a workplace pension through your job, you often have a lifelong annuity. The contributions to the annuity are deducted from your salary before taxes are calculated, which automatically gives you a tax deduction in your personal income.
The annuity is paid out from retirement age and continues for the rest of your life. It ensures you a continuous monthly income as a supplement to the old-age pension from the municipality. The amount depends on how much and how long you have contributed.
Taxation upon payment
When the annuity is paid out, it is taxed as ordinary income. The company that pays out the money ensures that the tax is settled, so you receive the remaining amount directly in your account.
Early payout
If you withdraw your Qimatut pension early, you must pay a fee of 55% of the total amount. If your employer has contributed to the pension, it also requires the employer's consent. Therefore, it is a good idea to discuss the situation with us – often we can find a much better solution than withdrawing your Qimatut pension early.
Annuity or installment pension?
It is recommended that part of your pension savings be paid out as an annuity, so you are guaranteed income for life. Many also choose a higher payout in the first 10-15 years of retirement to be able to travel or maintain larger assets such as a boat or home.
A combination of annuity and installment pension over a minimum of 10 years is often the best solution. We help you find the solution that fits your needs and finances.
If you pay too little for mandatory pension
When you receive your final statement from the Tax Agency in August, you can see on pages 5 and 6 whether you have paid enough for mandatory pension. If something is missing, you can contact us and inform us how much needs to be paid and from which account the money should be withdrawn. We will take care of the transfer and send you documentation that you can forward to the Tax Agency.