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What is the employee savings allowance?

The employee savings allowance is a cash allowance granted by the state to encourage employees to invest in capital formation. It is a state bonus for capital-forming benefits.

Capital-forming benefits (VL) are cash benefits that your employer invests for you, e.g. on the basis of a collective agreement, a works agreement or an employment contract.

The prerequisite for the state allowance is that your employer - and not you - pays the capital-forming benefits into an investment account set up by you.

The employee savings allowance for

  • Building society savings: 9% of the annual VL (maximum € 42.30)
  • Participation savings: 20% of the annual VL (maximum € 80.00)

If you take out two eligible forms of investment (e.g. a building society savings contract and a securities savings plan), the allowances are granted in parallel, so that the maximum annual amount is € 122.30 (= € 42.30 + € 80.00).

Note

You can also claim the employee savings allowance if your employer does not pay any capital-forming benefits. In this case, ask your employer to deduct the payment into your investment account from your salary.

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