Your Private Supplementary Pension for the Self-employed entitles you to a tax benefit. But for this, you must of course include it in your declaration. Where do you do this?
Let us explain.
The exact section in which you will have to declare your PSPS will depend on your professional activity:
- Section XIX: Liberal professions: 1656/2656 - social contributions
- Section XVIII: Company profit - Self-employed people other than liberal professions: 1632/2632 - professional fees
- Section XVII: Company managers: 1405/2405 - personal social contributions
- Section XXI: Assisting spouse: 1451/2451 - social contributions
How much can you save?
- The classic PSPS: your maximum premium will correspond to 8.17% of your net professional income, with a ceiling at €3.187,04 (2018 income, 2019 tax declaration). You will thus build up a supplementary pension.
- The social PSPS: your maximum premium will correspond to 9.40% of your net professional income, with a ceiling at €3.666,85 (2018 income, 2019 tax declaration). You will not only build up a supplementary pension, but you will also benefit from other supplementary coverage such as disability and death coverage. As your premium could be higher, your potential advantage in terms of taxes and social contributions would also increase.
What is your tax benefit?
The PSPS premium is deductible as professional expenses and you thus receive a tax benefit at the marginal rate. The deduction lowers your income and you can possibly also pay less social contributions.
You can go to NN for a PSPS. You can read all about it here.