Prepare your retirement: Should a conventional life insurance contract or perp be subscribed?

Prepare your retirement: Should a conventional life insurance contract or perp be subscribed?

life insurance

In addition to the benefits of compulsory (base, additional, additional, additional) regimes in the form of pension pensions, a natural person may want to constitute a supplement of income for his pension in the form of an annuity. Life insurance is then a suitable and effective way. But what kind of life insurance contract? Classic or PERP (Popular Retirement Savings Plan) or 2? Certainly, they each have advantages and each of the disadvantages ... Compare!

life insurance

Unlike life insurance, the PERP makes it possible to lower its tax pressure because the contributions are deductible from taxable income and exempt from social samples. Another strong point of the PERP, the savings evolve by security levels according to the expiry of the liquidation of the retirement, that the more the age of the retirement initially approach the financial supports become safe. On the other hand, to fully benefit from the benefits of PERP, it is preferable to be in a strong marginal tranche of taxation (30% and more).

Life insurance, the preferred investment of the French, also has many significant advantages: it is adapted to all individuals in professional activity or not, which one is at the beginning, in the middle or at the end of the career, and subject. to the tax or not. Life insurance is also very flexible: payments are free or programmed, or periodic and evolve according to monosupport and / or multisupports financial supports or not. And, Last but not least, life insurance is available at any time, it offers the possibility of exit to rent or capital at the time of retirement. In addition, taxation both on life annuities and capital is particularly advantageous.

In synthesis, combining membership with a PERP and the subscription of a life insurance contract is judicious. What one does not propose the other use and what the other does not use the other proposes. So these are two completely complementary investments. In fact, the subscription of a life insurance contract can be done by the tax savings carried out through PERP.

In any case, and before any membership, consider doing with your advisor a personalized and detailed assessment of your patrimonial situation. This will help you choose the product (s) based on your profile, your savings needs and goals.