- Estonian pension system
- I pillar
- II pillar
- III pillar
You will see the units at your account immediately after your funded pension contributions have been transferred from the Tax and Customs Board to the ECSD and the units have been issued. There may be several reasons why money has not been received to your account:
We recommend that you first contact your employer to find out if the funded pension contributions withheld by your employer and the declaration have been sent to the Tax and Customs Board as required, or contact the Tax and Customs Board directly.
However, one must keep in mind that due to the fact that the units of the pension fund are open to investment risks, the value of the units of the pension account may decrease or increase.
In order to carry out the succession procedure, the successors must first contact a notary. After a succession certificate has been received, the successors have to file an application to a suitable bank office for inheriting the units.
If the units are withdrawn in money, income tax must be paid on the sum of payment.
After you have joined the funded pension system and started making funded pension contributions, units of a funded pension fund will be acquired for you for your contributions. As owner of the units, you are one of the shareholders of the fund and you become an investor.
As shareholder and investor of the fund, the state has, through its legislation, established several protective mechanisms for the investors – laid down requirements for the management of the fund and assets of the fund, restrictions to investment, established rules for compensating damages caused to investors and created national as well as internal supervisory structure for the funds.
According to the Guarantee Fund Act, if a person loses money, the state will pay, based on the law, fully back €10,000 of the lost money. The rest of the money allocated to the fund will be refunded to the extent of 90%.