Good news for pension fund holders: starting next January 1, they will be able to Contributions with a minimum age of 10 years may be freely redeemed. This means that contributions prior to December 31, 2015 may be redeemed in advance, without the need for any of the general causes provided for this.
When can contributions be redeemed?
But let’s start at the beginning: the contributions made each year to a pension plan give the right to a deduction in income tax (IRPF). Currently, the maximum contribution to an individual pension plan that gives the right to deduction has been reduced to 1,500 euros per year. Before 2021, the maximum tax-deductible amount was 8,000 euros.
Thus, in exchange for this tax benefit, the regulation establishes that savings in pension plans cannot be redeemed, except at the time of retirement or other exceptional circumstances such as unemployment, illness, death, disability or dependency.
In addition, during the covid pandemic, the La Palma volcano or the current DANA in Valencia, the possibility of an early rescue of savings was also regulated. Outside of all these circumstances, the contributions cannot be redeemed, since pension funds are conceived as a long-term investment instrument by financial entities.
Changes for 2025
In 2014, to all the regulated circumstances that allow the rescue of savings in a pension plan, one more was added with the aim of increasing attractiveness among young people: that as of January 1, 2025, savings could also be rescued. contributions made at least ten years old.
Thus, starting next January 1 Contributions made before December 31, 2015 may be redeemed early.even if there are no causes of retirement, illness, unemployment, death or dependency. For their part, investments made from 2016 onwards must wait until 2026 and so on.