3rd Pension Pillar for employers

It’s common practice in Europe for employers to help their employees save for retirement. Everyone benefits.

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Invest in smarter benefits

Planned monthly contributions

€

Company benefit after

1 year

5 years

10 years

	As salary supplement	In Pension Pillar 3
Company expenses	2224 €	1200 €
Employee benefit	1200 €	1200 €
Company savings	0 €	1024 €

Detailed calculation

Employer social contribution	425 € (23,59%)	0 €
Employee social contribution	189 € (10,50%)	0 €
Employee PIT	411 € (25,50%)	0 €

Request a consultation Calculation assumption

The calculator result is for informational purposes only and is not intended for precise tax calculations.

Tax benefits

If 3rd pension pillar contributions do not exceed 10% of the employee's gross annual salary, payroll taxes do not apply — it is a fully justified expense.

Employee motivation

Employees appreciate when a company thinks about their future. Employer pension contributions help maintain a loyal and motivated team in the long run.

Socially responsible company

Companies that care about the future of their employees are considered socially responsible and progressive. This strengthens reputation and helps stand out in the job market.

They already choose us

Salary is one thing, but additional bonuses bring a different kind of value. For a younger team, it helps them start saving even if they haven't thought about it yet. As a local company, INDEXO was a logical choice — we support our own and provide employees with a real benefit for the future.

The setup process takes just a few minutes — click, click, and it's done. We were looking for new benefits for our employees and realized that 3rd pension pillar contributions are the right step. When a company provides such an initiative for the long term, it creates a feeling that we're playing on the same team and scoring for the same goal.

We are aware that the state pension alone may not be enough in the future, so we encourage employees to think about their security and invest in them today. Every euro contributed will work for them for decades to come. Working with INDEXO is surprisingly easy — no extra bureaucracy, we simply make a contribution to the employee's account, and INDEXO takes care of the rest.

When you explain the financial benefits to an employee, they quickly understand the real value of this bonus and the power of the 25% tax refund. It's a return that cannot be achieved with a regular salary. INDEXO was the logical choice — we like the brand, the reliable index approach, and the low fees, where everything just works.

We deliberately improved our employee benefits package, looking for a solution that would show care not just for today, but also for the future. The 3rd pension pillar was the best choice. After evaluating the market, we chose INDEXO, because there is no unnecessary bureaucracy here — the entire process is as simple as possible for both the company and the employees.

Salary is one thing, but additional bonuses bring a different kind of value. For a younger team, it helps them start saving even if they haven't thought about it yet. As a local company, INDEXO was a logical choice — we support our own and provide employees with a real benefit for the future.

The setup process takes just a few minutes — click, click, and it's done. We were looking for new benefits for our employees and realized that 3rd pension pillar contributions are the right step. When a company provides such an initiative for the long term, it creates a feeling that we're playing on the same team and scoring for the same goal.

We are aware that the state pension alone may not be enough in the future, so we encourage employees to think about their security and invest in them today. Every euro contributed will work for them for decades to come. Working with INDEXO is surprisingly easy — no extra bureaucracy, we simply make a contribution to the employee's account, and INDEXO takes care of the rest.

When you explain the financial benefits to an employee, they quickly understand the real value of this bonus and the power of the 25% tax refund. It's a return that cannot be achieved with a regular salary. INDEXO was the logical choice — we like the brand, the reliable index approach, and the low fees, where everything just works.

We deliberately improved our employee benefits package, looking for a solution that would show care not just for today, but also for the future. The 3rd pension pillar was the best choice. After evaluating the market, we chose INDEXO, because there is no unnecessary bureaucracy here — the entire process is as simple as possible for both the company and the employees.

How does it work?

Employee creates an INDEXO 3rd pension pillar account

Employee specifies employer as payer in profile and provides the contract number

Employer makes contributions to employee's 3rd pension pillar

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Choose local – choose INDEXO

Latvian company

We stand for positive change that benefits every resident of Latvia, including you. We achieved inheritance of 2nd pension pillar and introduced price competition in the industry.

Low-cost pension plans

We use low-cost index funds that have been successfully operating worldwide for over 50 years. This allows achieving the best long-term results while keeping costs lower for you.

Transparency

We ensure clarity in both costs and performance results. Every quarter you receive a transparent report and learn what is happening with your future pension.

Free consultation for companies

Learn how contributions to the 3rd pension pillar benefit your team and business!

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Questions and answers

Do contributions have to be made for all employees?

No, the employer can choose which employees to make contributions for. Companies often set criteria such as work experience, specific position, or end of probation period, but this is not mandatory.

On INDEXO’s side – no restrictions, you are free to choose who receives this benefit and which employees to grant 3rd pension pillar contributions.

Does the same amount have to be paid for all employees?

No, the contribution amount can be different for each employee.

What happens to contributions if an employee terminates employment?

The company no longer makes contributions, but the funds already contributed remain with the employee. They continue to grow in the employee’s 3rd pension pillar account, even after leaving the company.

Can employer contributions be changed at any time?

Yes. The employer has no long-term obligations – contributions can be increased, decreased, or temporarily suspended.

How to register these payments for employee 3rd pension pillar with the State Revenue Service?

Contributions must be reflected in the Report on amounts paid to individuals – it includes both 3rd pension pillar contributions and insurance payments (if any).

For employees who continue employment – the report must be submitted once a year.
For employees who have terminated employment – by the middle of the following month after departure.

Questions and answers