1. Who is obliged to pay PPK contributions from May 2021?
The obligation of introducing the PPK will cover the so-called 4th Tranche, i.e. all employers who so far in the previous stages were not obliged to introduce PPK in the company.
2. What are the deadlines for introducing PPK in the company?
As of January 1, 2021, the employers listed in point 1 will be automatically included in the government pension scheme. These employers are required to perform specific tasks:
- by April 23, 2021 at the latest, sign a PPK management contract with a financial institution
- by May 10, 2021 at the latest sign an agreement on running a PPK with a financial institution
3. Can the employer be exempt from the obligation to implement PPK in the company?
The legislator introduced regulations which exempt some business entities from the obligation to introduce PPK in their organization under certain conditions.
The above option may be used by micro-entrepreneurs who meet the following conditions jointly in at least one of the last two financial years:
- the entrepreneur employs on average less than 10 employees per year
- the annual net turnover from the sale of goods and services of the enterprise does not exceed the PLN equivalent of EUR 2 million or the total assets of the balance sheet prepared at the end of one of these years do not exceed the PLN equivalent of EUR 2 million
An additional condition for exemption from introducing PPK in the company is the resignation from the program of all employees employed in a given organization.
4. How should the employer choose a company that will manage employee funds?
The choice of the financial institution should be agreed by the Employer with the trade union organization operating in the workplace or with the employee representation selected from among the employees. The employer may not select the institution managing the PPK funds unilaterally.
The list of institutions that have been entered in the PPK records and offer management of funds accumulated in the PPK, along with their offer, is available on the PPK Portal www.mojeppk.pl
The employer signs a PPK management contract with a selected financial institution, which should be concluded in electronic form, no later than 10 days before the deadline for concluding a PPK contract.
5. How to choose the employee representation that will take part in the implementation of PPK in the company? How many people should the representation count?
Employee representation should be selected in elections in which all employees of the enterprise will participate. To conduct the elections, it will be necessary to prepare the Regulations for the Election of Employee Representatives. Depending on the size of the enterprise, it is usually from 1 to 3 people. It is recommended that if possible there should be at least 2 employees.
6. Rules for participation in the PPK
The employer makes payments to the PPK only for employed persons, i.e. for employees and natural persons over 18 years of age, working under an agency contract or contract of mandate or other contract for the provision of services, e.g. management contracts and members of supervisory boards; if these persons are subject to compulsory retirement and disability pension insurance.
The possibility of concluding a PPK contract depends on the age of the employed person and is as follows:
7. What is the amount of contributions to the PPK and when should they be transferred to the financial institution?
The employer and employee, as a participant in the Employee Capital Plans, finance the basic contributions from their own resources. In addition, both the Employee and the Employer may decide to make additional contributions.
* with the possibility of reducing the obligatory payment for people earning up to 1.2 of the minimum wage
8. Are contributions to the PPK a contributory and taxable income?
The amount of the contribution to the PPK financed by the Employer is not included in the basis for compulsory insurance contributions in ZUS. However, it is taxable income. Income will arise from both the basic and voluntary contributions financed by the employing entity.
9. Activities required to implement the PPK – how can we support you?
More information on PPK can be obtained, among others, in the training:
PPK ENG: https://youtu.be/I69At58HBJY