What you need to know
Plan for your retirement now, so you can enjoy your life later. Build a secure financial future with the PayPal Retirement Plan. Both you and PayPal can contribute to the plan, which ensures that money is set aside now for your retirement savings.
How the plan works
The PayPal Retirement Plan is a defined contribution plan provided by Zwitserleven PPI. The plan includes a pension for you after retirement. It also includes a pension for your partner and your children if you pass away. Finally, it includes a waiver of premium in case of long-term disability (after 2 years).
Plan contributions
Each month, a defined contribution is invested in the plan to save for a pension capital upon retirement age. Both you and PayPal contribute a percentage of your pension base (pensionable salary +/- AOW offset) to the plan.
You contribute 3% of your pension base to the plan, which is withdrawn from your gross salary each month. You pay no income tax on these contributions and no wealth tax (Box 3) on your investments. After retirement, you do pay tax on your income.
PayPal’s contributions to the plan are made on a monthly basis.
| You contribute... | PayPal contributes... | |
|---|---|---|
| Age 20–24 | 3% | 4,38% |
| Age 25–29 | 3% | 5,58% |
| Age 30–34 | 3% | 6,97% |
| Age 35–39 | 3% | 8,53% |
| Age 40–44 | 3% | 10,48% |
| Age 45–49 | 3% | 12,69% |
| Age 50–54 | 3% | 15,28% |
| Age 55–59 | 3% | 18,50% |
| Age 60–64 | 3% | 22,56% |
| Age 65–66 | 3% | 26,07% |
You may also make an additional employee contribution on a voluntary basis (PensioenAanvullen). The contribution amount depends on your age as shown in the table below.
| Age | Additional contribution amount |
|---|---|
| 20–24 | 0.32% |
| 25–29 | 0.32% |
| 30–34 | 0.33% |
| 35–39 | 0.47% |
| 40–44 | 0.42% |
| 45–49 | 0.51% |
| 50–54 | 0.62% |
| 55–59 | 0.80% |
| 60–64 | 0.84% |
| 65–66 | 1.43% |
You may also make a one-time retroactive contribution for the previous months starting from your employment date. All the adjustments to the voluntary contributions can be done via the personal Zwitserleven pension portal. Please note that the additional voluntary contributions amount is fully paid by you.
Investments
Zwitserleven PPI invests the plan contributions on your behalf and determines the combination of the investments based on your age. By default, your savings are invested into HorizonBeleggen, or horizon investing — where your age and expected retirement date form the horizon for the investments. As your retirement date nears, the investments are reallocated to take on lower risk. Other investment possibilities are ProfielBeleggen, ProfielBeleggen Plus, or VrijBeleggen. For more information, visit Zwitserleven’s website.
When you retire, you have accrued a pension capital that includes the plan contributions and the return on investments. With this pension capital, an annual pension benefit is purchased. You also have the following options:
- (Partially) continue investing after retirement
- Purchase a (deferred) annual pension benefit as of 15 years before your retirement age (ZekerheidZwitch)
For more information, visit Zwitserleven’s website.
Pension for your partner and / or child(ren)
Your partner and / or your child(ren) will receive a pension if you pass away during your career with PayPal.
Make sure your information is up to date with Zwitserleven by accessing their personal pension portal (e.g. children or partner related).
For information on what you need to do, go to HR Hub (dependants pension section).
The partner’s pension and orphan’s pension are insured and financed separately, and the premium is paid by the employer (except for the ANW Gap Pension).
ANW-Gap
Within the pension plan of Zwitserleven, you can also opt for the ANW-Gap benefit — an extra temporary partner’s pension. An annuity of € 15.985,44 (figure 2021) is insured and payable until the statutory retirement age of your partner.
This benefit is based on a voluntary participation, which can be done through the Zwitserleven’s website. You pay the premiums for this benefit.
In case of disability
If you become ill and disabled for an extended period of time, the pension provider will (partially) take over the following after 2 years of sickness:
- The contribution for your pension after retirement, and
- The premiums for the insurance of the pension for your partner and/or child(ren)
Retirement
On your retirement date, you can use your pension capital to purchase an old age pension and a partner's pension (if applicable).
At that time, you can choose between a fixed or variable pension and early or late retirement options.
You can select the pension provider to purchase your pension annuity. This can be Zwitserleven or another pension provider.
For all relevant and applicable pension rules and conditions, refer to the pension plan rules (accessible via the personal pension portal at Zwitserleven).