Employee Investing by a.s.r. offers a solution for Wtp issues

With Employee Investing, an employee can invest in the fourth pillar through the employer. The fourth pillar refers to individual asset accumulation outside of regular pension schemes. The employer can, with the employee's consent, deduct amounts from the net salary and transfer them directly to the employee's investment account. Additionally, the employer can deposit extra amounts, such as a bonus. It is also possible, under certain conditions, to place a block on the account.

Employee Investing has been live since 1 February, 2025. It offers a flexible solution for various issues arising from the Wtp. For instance, some employees need to be compensated due to a lower pension caused by the Wtp. Employee Investing provides a good solution by allowing employees to set aside money for later. Furthermore, employees who build up extra pension through the pension scheme have less incentive to do so under the Wtp, because in the event of death, the extra built-up pension goes to other participants or the executor. With Employee Investing, the accumulated assets go to the survivors in the event of death.

Because the employee invests in the fourth pillar, there is no need to consider exceeding the annual allowance as with a financial product in the third pillar. The assets fall under box 3 and are freely withdrawable, although a withdrawal block can be set under certain conditions. The assets accumulated through Employee Investing are not deductible for income tax like an annuity, which means there are no direct tax benefits during the accumulation phase.

Folkert Pama, Director of Pensions at a.s.r.: 'The transition to the new pension system varies for each employer, as every employee base is unique. With the introduction of Employee Investing, we have now expanded our proposition within a.s.r. pensions. This allows us to offer new solutions to employers and, together with independent intermediaries, make all employers Wtp-proof in the coming years.'

Employee Investing was launched through the investment firm a.s.r. Vooruit. Employees can decide for themselves how much and when they want to invest and have access to their investment account through an online portal and the a.s.r. app. They can choose from four different funds and have the freedom to decide in which fund they want to invest.