Participation in the Employee Capital Plans program by you can be beneficial. If you are a foreigner employed and insured in Poland, you can join the program. Participation in the PPK may facilitate your additional retirement funds, but it may also become a ticket to long-term residence for you.

What rules apply to foreigners in case of PPK?

The Act on Employee Capital Plans regulates two issues, which at the same time are conditions for participation in the PPK program. The conditions to be met are:

• age,
• specific employment relationship.

The Act on Employee Equity Plans clearly stipulates that you must be at least 18 years old to save in the PPK program. The upper age limit to benefit from the scheme is 70 – after this age it is not possible to join a PPK scheme.

Employee Capital Plans are dedicated to people who are:

• employees who work under an employment contract
• natural persons performing contracted work who are at least 18 years old
• members of agricultural production cooperatives or cooperatives of agricultural circles
• natural persons who work on the basis of a contract of mandate or contract for specific work
• members of supervisory boards who are remunerated for the performance of this function.

The regulations do not generally regulate the criteria for foreigners separately from those for Poles. A foreigner working in Poland and paying pension contributions in Poland may join a PPK program.

Country of contribution

If a foreign national who is an EU citizen and an employee of an EU country is insured in his home country, he is not entitled to apply for participation in the Employees’ Equity Plans.

Is PPK beneficial for foreigners?

Problems related to PPK appear at the moment of transfer payments. A foreigner employed in the territory of the Republic of Poland, who participates in the program or has terminated his participation in the Employee Capital Plans and decided to return to his country of origin, is not able to withdraw the accumulated funds to any foreign pension program.

Another problem related to the accumulated funds on a bank account may be the death of a scheme member. The funds that have been accumulated as part of participation in the PPK are private and are not subject to inheritance. Issues concerning inheritance are regulated by the country of origin of the deceased, therefore, there are complications in interpreting the rules of inheriting the funds from PPK.

Foreigners and participation in the Employee Capital Plans

Participation in the Employee Capital Plans program by you can be beneficial. If you are a foreigner employed and insured in Poland, you can join the program. Participation in the PPK may facilitate your additional retirement funds, but it may also become a ticket to long-term residence for you.

What rules apply to foreigners in case of PPK?

The Act on Employee Capital Plans regulates two issues, which at the same time are conditions for participation in the PPK program. The conditions to be met are:

• age,
• specific employment relationship.

The Act on Employee Equity Plans clearly stipulates that you must be at least 18 years old to save in the PPK program. The upper age limit to benefit from the scheme is 70 – after this age it is not possible to join a PPK scheme.

Employee Capital Plans are dedicated to people who are:

• employees who work under an employment contract
• natural persons performing contracted work who are at least 18 years old
• members of agricultural production cooperatives or cooperatives of agricultural circles
• natural persons who work on the basis of a contract of mandate or contract for specific work
• members of supervisory boards who are remunerated for the performance of this function.

The regulations do not generally regulate the criteria for foreigners separately from those for Poles. A foreigner working in Poland and paying pension contributions in Poland may join a PPK program.

Country of contribution

If a foreign national who is an EU citizen and an employee of an EU country is insured in his home country, he is not entitled to apply for participation in the Employees’ Equity Plans.

Is PPK beneficial for foreigners?

Problems related to PPK appear at the moment of transfer payments. A foreigner employed in the territory of the Republic of Poland, who participates in the program or has terminated his participation in the Employee Capital Plans and decided to return to his country of origin, is not able to withdraw the accumulated funds to any foreign pension program.

Another problem related to the accumulated funds on a bank account may be the death of a scheme member. The funds that have been accumulated as part of participation in the PPK are private and are not subject to inheritance. Issues concerning inheritance are regulated by the country of origin of the deceased, therefore, there are complications in interpreting the rules of inheriting the funds from PPK.