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Comparison of PPK and PPE

Comparison of PPK and PPE

02.12.2019

| Employment law

| Insurance

To compare PPK and PPE, we present the most important differences between occupational capital plans (PPK) and occupational pension schemes (PPE) in a synthetic and accessible form. The need for it is not accidental - the role of the PPE is not to eliminate and replace the PPK. Both types of savings schemes will operate in parallel and, under a number of conditions set out in the PPK Act, the employing entities will be free to choose between one or the other solution.

  1. Basic differences between PSCs and EPPs

  1. PPK and PPE - Employer's obligations and responsibilities:

There are many similarities between the PPE and the PPK. The purpose of their functioning is right. However, it was not until the introduction of the PPK that companies were encouraged to set up PPE. A very small number of companies offered them to their employees. It was only the first information about the PPK and the condition for exemption from the creation of the PPE, if the PPK had been in place before, that made the latter more popular.

One of these forms will have to be used by the employer. Which one's better? Everything depends on the individual preferences of the employers. If you are an employer and need advice on which solution to choose, please contact our law firm.



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