Individual Pension System

Individual Pension System

    TEB makes your second retirement dreams come true!

    Even if you involve in the social security system, does the retirement payments which you plan to get in your retirement period be sufficient to realize your dreams you plan for your retirement?

    Individual Pension System is a system which operates under government supervision and established to make your “Wish I was retired” dream come true. This system operates according to voluntary participation and what you should do is just to determine the savings amount you may need in future together with our financial consultants and to start saving now.

    Come and get your retirement under guarantee.  Join the system and look to the future with confidence; and live your retirement dreams to the full when the time comes.

    Enjoy the advantages of Revised Individual Pension System from today!

    Please click here to start saving now to make your retirement days at least as special and privileged as today.


    The tax advantage application provided before 01.01.2013 by deducting the contribution amount from your tax base is now replaced by “Government Contribution”…

    An additional amount up to 25% of your contribution you paid shall be followed under a separate account linked to your pension agreement as a government contribution and shall be invested.

    To be eligible for Government Contribution, you do not have to be a tax payer; all individual participants who pay contributions can benefit from it…

    To benefit from government contribution application, you do not need to take a separate action… With each contribution you will pay, you can directly benefit up to an amount within limits*… Thereby, after 01.01.2013, you do not need to submit your payment receipts sent to you to demonstrate the payment of your contributions to an institution to receive government contribution subsidy…

    *Maximum Government Contribution of which the participants can benefit through this system is limited to 25% of annual gross minimum wage declared for the relevant calendar year.

    For Government Contribution, there will be a single limit for all your agreements in the Individual Pension System…

    While your annual tax advantage limit with the tax advantage application before 01.01.2013 is applicable for all your individual pension agreements, life and health insurance policies; now, it will be only applicable for private and group individual pension agreements. By this way, you can benefit from your Government Contribution limit more…

    You will be entitled to Government Contribution depending on the period of your stay in the system…

    As of 01.01.2013, your entitlement period for your Government Contribution amounts will be as follows…

    a) If you stay at least 3-years in the system; you will be eligible to 15% of Government Contribution and your earnings, if any;

    b) If you stay at least 10-years in the system; you will be eligible to 60% of Government Contribution and your earnings, if any.

    c) When you become entitled to retirement from Individual Pension System, in other words, if you stayed in the system for 10 years and have completed 56 years of age (or retirement from this system in the case of disability or death), you will be eligible to Government Contribution and all your earnings, if any, notwithstanding the foregoing time periods...

    If you have an Individual Pension Agreement as of 29.05.2012 and if you would terminate any of your pension agreements within two years after the date of 29.06.2012 by taking your savings; then you will lose your right to benefit from Government Contribution for the contributions you will pay to the Individual Pension System until 31.12.2014.  

    To get the maximum benefit from Government Contribution; our Recommendation for you is to stay in the system without delaying your payments.

    Our participants who are still in the system will be entitled to Government Contribution earlier by proportion to their period of stay in the system!

    During the Government Contribution entitlement process; the following years will be added to the Government Contribution entitlement period of our existing participants for one time only and depending on the period of time they stayed in the system until 01.01.2013 on condition that they would stay in the system at least for 3-years (including 31.12.2016);

    a)        1 year; if they stay in the system more than 3 years less than 6 years until 01.01.2013,

    b)        2 years; if they stay in the system more than 6 years less than 10 years until 01.01.2013,

    c)         3 years; if they stay in the system more than 10 years until 01.01.2013.


    Effective from 01 January 2013;

    The administrative expenses fee of maximum 8% applied on contribution amounts within the scope of Individual Pension System is reduced to 2%.

    In this context, this deduction which is paid at the rate of 3% and above in your private pension, group individual pension or employer group pension agreements you have with BNP Paribas Cardif Retirement is declined to 2%; and the rights of the agreements which already have an administrative expenses fee ratio of 2% and less are reserved as they are.

    To achieve your targeted savings amount in your retirement period, you should make your contribution payments in a regular manner and at sufficient amounts. However, you can take a break from paying your contributions during the period of your pension agreement. For the purpose of encouraging the participants to make regular savings; and as to be applied on existing and new pension plans; if no payment is affected to the account within three months after the payment date of the contribution amount unpaid on its due date, then the payments in the relevant agreements shall be deemed to be paused and an additional administrative expenses fee shall be applied over the accumulated principal amount of the participant at an amount not to exceed two Turkish Lira for each full month being paused.


    The advantage rate for the employers is increased to 15%!

    New regulations in the Individual Pension System provide advantages not only to the individual participants, but also to the employers…

    While the individual pension contribution amounts paid by the employers on behalf of their employees in the current system can be deducted from the payroll of the employee in a manner not to exceed 10% of the monthly gross salary of the employee and the annual amount of gross minimum wage, now this rate in the new Individual Pension System is increased to 15%.

    In this new application which was entered into force as of 01.01.2013; since the contribution amount to be paid by the employee shall not be included in the amount to be deducted from the tax base, it allows the employers to make more contribution on behalf of their employees.  

    A new application for the contribution amounts paid by the employee

    Starting from 01.01.2013; the payment receipts to be sent to the employer on behalf of its employee are not required to be processed in the payroll of the employee. The employee is not required to submit his/her receipt to any institution or related entity to receive his/her government contribution subsidy.

    The entitlement period declared in Employer Group Pension Plans

    The upper limit of the entitlement period in employer pension plans is increased from 5 years to 7 years.  The entitlement period is the time period determined in the employer group pension agreements in order the participant to become entitled to the entire or a portion of the contribution amounts paid by the sponsor organization and their yields thereof. This time period cannot be shorter than 1-year and longer than 7-years.

    Please click here to start saving now to make your retirement days at least as special and privileged as today.

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