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When and how to join?

Born Before 1983

Persons who were born between the years 1942 and 1982 had the option to voluntarily subscribe to the funded pension system. The voluntary subscribing took place during the period 1 May 2002 and 31 October 2010. Persons who were born before the year 1983 and have not subscribed to the funded pension can no longer subscribe.

NB! Persons who voluntarily subscribed to the second pillar, undertook the binding obligation as the persons who are obliged to subscribe: there is no possibility to unsubscribe from the funded pension.

Born in 1983 and Later

Subscribing to the funded pension is mandatory for the persons who were born in 1983 and later. The mandatory subscription date is 1 January of the year following the year the person becomes 18 years old. The mandatory date of subscription for the persons born in 1983 was 01.07.2002.

In order to subscribe to the funded pension, a person needs to fill in a choice application, stating into which fund the contributions will be directed.

The funded pension can be subscribed to via the internet, at bank offices and insurance companies:

  • Pencion Centre’s My Account
  • Internet Banks
  • SEB Bank
  • Swedbank
  • LHV Bank
  • Luminor Bank
  • Compensa Life Vienna Insurance Group SE Eesti filiaal
  • ERGO Life Insurance SE Eesti filiaal
  • Tuleva Funds

After the application has been submitted, it will reach the Estonian pension register in real time and a pension account will be opened for the person.

Information on whether a person has subscribed to the funded pension or not and when the withholding of the funded pension contributions starts, is available through the subscription query at the start page of pensionikeskus.ee.

If no choice application is submitted, the Estonian pension register will open a pension account for the person on the basis of the data received from the Tax Board. The contributions will be allocated to the pension fund determined by the drawing of lots. The fund will be drawn by lottery from three pension funds with the lowest current fee rates, with a maximum share of at least 75% in equity, equity and other equity-like instruments.

Lottery pension funds do not include several pension funds of the same fund management company. The list of qualifying pension funds shall be determined on the 3rd of March of each year or on the following working day. (In 2019, a list of pension funds will be drawn up on the 3rd of June.)

The mandatory funded pension fund is drawn for the persons who were born in 1983 or later (obligated persons) and who by the time of the first contribution have not submitted a written choice application of the mandatory pension fund.

A fund is chosen for the obligated persons by drawing of lots only from among the mandatory funded pension funds with conservative strategy.

If a person wishes to change the fund chosen for him or her by the drawing of lots, a choice application has to be submitted and the name of the suitable fund has to be indicated. The choice will take immediate effect.

NB! Lots are drawn only when the first salary of the young person is paid!

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