The payer of premiums is eligible for a special tax relief pursuant to the Income Tax Act ZDoh-1-UPB4) and other legislation.

The highest percentage of tax relief is 5.844 % of the employee’s gross salary. At the same time, the highest amount of tax relief for 2009 amounts to € 2.604,54 per year.

For employees

Premiums paid by the employees themselves serve to increase supplementary pension and, at the same time, reduce the amount of personal income tax due since they lower the tax base by paying premiums.

By opting for optimal supplementary individual payments to the voluntary supplementary pension insurance fund, the KVPS , or, in case of civil servants into the ZVPSJU fund, employees can reduce their tax base and, consequently, make full use of the supplementary tax relief. To be eligible the employee must be a resident of the Republic of Slovenia.

For employers

The most rational type of an employee reward scheme is undoubtedly their motivation through supplementary pension insurance since a special tax relief is applied. The paid-in premiums lower the employer's tax base. The employee’s income tax base is not increased by this; the employer does not have to pay contributions and taxes that are applicable to all forms of reward schemes. More importantly, the employee’s personal supplementary pension account shows regular monthly increases, while their assets grow.