Video Series on Alternative Remuneration in Belgium – Video 8 / 8 : Insurances

In this video series on alternative methods of remuneration in Belgium we at Besox want to support you as employer to optimize your payroll.

Video 8 : Insurances

The Belgian government encourages your intervention as an employer in providing additional hospitalisation insurances or retirement savinds, in this video a brief overview of the 4 most .

• A group insurance is a type of retirement savings that the employer can organise for all his employees, or a category thereof. Mandatory in some sectors, but you can always voluntarily grant this benefit to your personnel.

The contributions can be paid in full by the employer, the employee or a combination of the two. This advantage is exempt from taxes and social security, but subject to an insurance tax of 4,4% and a contribution to the pensions for salaried persons of 8,86%

This advantage is deductible.

• You can also provide an extralegal hospitalization for all your employees, or a particular category.

A hospitalisation insurance means that when a worker is hospitalized he can get a refund on all sorts of costs relating to his hospitalisation. Sometimes the employee can expand this insurance for his spouse and the children by paying a premium.

The contributions can be paid in full by the employer, the employee or a combination of the two. This advantage is exempt from taxes and social security, but subject to an insurance tax of 9,25% and a contribution to the RIZIV of 10%.

This advantage is non-deductible.

• The individual pension is an occasional, non-systematic pension to one or more employees and/or their beneficiaries.

This pension must be agreed upon in writing but largely follows the same rules as the group insurance.

This advantage is deductible for a maximum of 2300 € / year.

• A pension fund differs from a group insurance in the fact that there is a guaranteed return on group insurance whilst a pension fund tries to pursue the best possible return.

The general rules of a pension fund are similar to a group insurance, however the return also depends on the climate of the stock market. Today there are about 250 pension funds, which is a lot less than group insurances.

This advantage is deductible.

Thank you for your attention, for more information about insurances you can always contact our partner : Morbee-Ballegeer & Partners.