If you are looking to save, we recommend that you go beyond the typical piggy bank at home or accumulate money in your bank account, without doing anything with it. To really save optimally, it pays to look for tax-advantaged savings products.
For this reason, we recommend that you consider the savings products we are going to talk about today, as they can also offer you interesting tax savings.
To make your decision easier, we offer you 4 savings products that offer the best tax advantages with the highest profitability and the minimum permanence, and we explain their benefits. To make everything easier for you.
Are savings plans tax deductible?
A pension plan and guaranteed pension plans (PPA) are an interesting way to save.
In addition to helping you supplement your retirement pension, pension plans allow you to save on your tax return.
And it is a product with tax advantages, which is deductible from the IRPF taxable base with a limit of up to 8,000 euros per year.
REVISION January 2021: the contribution to Individual Pension Plans has been limited to 2,000 euros/year
You know that the pension plan is nourished by the periodic or extraordinary contributions that you make. Therefore, in addition to the financial profitability of the product itself, you will find the tax savings we have talked about.
This means that for an annual contribution of 1,000 euros you can save up to 500 euros in your income tax return in the highest brackets. That is why the tax savings in the pension plan are very interesting.
Check here our Pension Plans and our Insured Pension Plans.
The redemption of the PIAS in the form of annuities
Another interesting option is the product called PIAS. Individual savings plans are also suitable, as they have interesting tax advantages.
This long-term savings plan allows that, after five years from its contracting, it can be redeemed in the form of an annuity without taxation for all the benefit you have generated.
Although the tax advantage is from 5 years of life of the product, most of them have liquidity from one year from its contracting. It is a savings plan with interesting taxation, very flexible, and its maximum annual contribution is €8,000.
The SIALP and the tax savings on redemption
The Individual Long-Term Savings Insurance (SIALP) is a flexible savings system that allows us to invest money with a specific frequency and generate profitability.
It does not seem very different from the other savings products we have seen, but it has several particularities that make it very attractive:
- 85% of the contributed capital is guaranteed. This helps enormously if we wish to contract a mixed income or variable income product, the risk is greatly minimized.
- But one of the most attractive points is the tax benefits. And the fact is that if you redeem it all at once (in the form of capital) 5 years after the contracting, all the yield will be exempt from taxation. In this way, everything saved will return to you quickly and in full, saving up to 20% in taxes.
It is the most demanded savings plan at the moment. Both for its profitability and its favorable taxation.
Life annuity
And finally, we would like to refer to life annuities as a way of channeling our accumulated savings over the years.
As we have pointed out in previous articles, a life annuity insurance life annuity insurance is a savings product generally oriented to people over 60 years of age who want to have an economic complement to the benefit they receive for their retirement. It is a periodic income that is obtained for life, i.e., for life.
It has a very advantageous taxation, especially if we have sold a property and we want to avoid paying tax on it, allocating the proceeds to an annuity.
Today, thanks to the rise in interest rates, we can offer you products with a profitability that exceeds 3% per annum.
What is the most advantageous savings product for me?
And so much for our analysis of the best products with guaranteed profitability and tax advantages in the IRPF. Do you have doubts or are you not sure which one suits you best? From PIB Group Iberia we will guide you to choose which savings products are most interesting for you according to your conditions. Contact us and we will help you to optimize your money with total guarantee.
