Now more mature with a new set of regulations, the PPS is highly advantageous for everyone who has completed 18 years of age. With state subsidy, the state adds TL25 for your every TL100. Your TL100 becomes TL125.

Who can join?

Everyone who has completed 18 years of age can join the system. To benefit from the state subsidy, participants must be citizens of the Republic of Turkey even if they don't reside in Turkey.

Participants' rights

  • The right to retirement at 56 years of age
  • The Private Pension System is based on voluntary participation. Participants may join the system by signing the pension contract to be laid out to accommodate their particular needs and investment preferences and paying the corresponding contribution.
  • Participants gain eligibility for retirement after staying in the system for a minimum of 10 years and completing 56 years of age. These criteria are important as regards leaving the system in retiree status and getting maximum tax benefit. It's always possible to leave the system by paying withholding tax.
  • The contributions paid until retirement are evaluated in various pension plans in pension investment funds founded by the pension company.
  • The Private Pension System offers a number of benefits to both individuals and organizations.
  • Everyone who has completed 18 years of age and requires an additional assurance for the future of themselves and their loved ones may benefit from this system individually. As for organizations, all that take stock in human resources policies and aim to enhance the motivation of a qualified work force and hence boost total performance will find numerous perks in this system including tax advantages.

How does one become eligible for retirement?

To become eligible for retirement, it's sufficient to complete 56 years of age provided that you have stayed in the system for at least 10 years. When you retire, you can recover your savings in a lump sum or in regular repayments.

Basic Rights

  • Participants have the right to switch plans up to four times a year with the same company and to modify their asset distribution in the investment funds up to six times a year.
  • The savings under a contract may not be transferred to another pension company for 2 years as of the date of entry into effect of the contract. This period is set at 1 year in the case of contracts transferred from another pension company.
  • Suspension of payments and making intermediate payments are allowed in the payment of contributions.
  • The right to leave the system before eligibility for retirement does exist.
  • In the event of a participant's death, their savings will be paid to their beneficiary or, if none is specified, to their legal heirs.
  • A participant who has gained eligibility for retirement may combine their pension contracts with the same company or with different companies without having to pass a waiting period.
  • A participant who has gained eligibility for retirement may recover their savings in a lump sum; in monthly, quarterly, biannual or annual pensions; or in a combination of lump sum plus pension.
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