Pension saving in 2024: two maximum tax-efficient amounts to choose from
Which maximum amount should you go for?
You can choose between two figures:
- 1,020 euros, which could save you up to 306 euros in tax
- 1,310 euros, which could save you up to 327,50 euros in tax
The default maximum amount is 1,020 euros per year. This gives you 30% tax relief on what you pay in, or a tax break of 306 euros per year. If you save less, you won't be able to claim the full amount of tax relief.
If you want to build up additional pension capital, you should opt for 1,310 euros per year as your maximum amount. This gives you 25% tax relief on what you pay in, or a tax break of 327,50 euros per year. Make sure to save at least 1,224 euros, otherwise you’ll get less tax relief than had you opted for 1,020 euros.
What you need to know if you opt for 1,310 euros
Be sure to save more than 1,224 euros
If you end up saving only 1 100 euros, for instance, you'll obtain a tax break of just 275 euros (25%), whereas you'd have received 306 euros (30%) if you’d gone for the lower tax-efficient figure of 1,020 euros.
You save more and pay a higher final tax charge
If you deposit 1,310 euros every year for pension-saving purposes, you should in principle come to a higher amount at the end, which means a higher final tax charge.
Tell us your choice every year
If you opted for 1,270 euros last year, the lower maximum figure of 1,020 euros will apply again in 2024, unless you explicitly opt for the higher maximum figure of 1,310 euros.
How to increase the amount you save to 1,310 euros
If you have a pension savings fund with KBC Brussels, you can increase the amount you save as follows using KBC Brussels Mobile:
- Log in to KBC Brussels Mobile, tap ‘Investments’, then ‘Tax-advantaged savings and investments’, select your pension savings account and then tap ‘Increase your maximum tax-deductible amount’
- Read through the information
- Select 1,310 euros as the maximum amount
If you need any help with this, don’t hesitate to get in touch.