Voluntary Contributions (VC)
What Exactly Are Voluntary Contributions (VCs)?
Voluntary Contributions are extra funds you choose to add beyond your mandatory pension deductions, as part of a personal commitment to your future. These contributions are deducted directly from your salary by your employer and remitted into your Citizens Pensions Retirement Savings Account (RSA) alongside your regular pension savings.
But what makes VC different from your everyday savings? One powerful thing: tax efficiency. VCs are deducted before tax, meaning they not only boost your retirement funds, but also help you lower your tax burden today. That’s a win-win for your present and future self.
Why Should I Start Voluntary Contributions?
Your Money, Your Terms
You control how much and how often you contribute monthly, quarterly, bi-annually, or even annually.
Tax Benefits
Enjoy reduced tax liability, as your VC is deducted from your salary pre-tax. And if you hold your contributions for 5 years or more? The income earned becomes completely tax-free.
Access When You Need It
After 2 years, you can access up to 50% of your VC once every two years. And the remaining half? It keeps working for you until retirement.
Expertly Managed Funds
Your VC is invested by Citizens Pensions’ trusted professionals bringing the same level of diligence and expertise that powers our RSA funds.
Build Wealth Consistently
Think of VC as a long-term wealth builder. It’s not just savings it’s a financial safety net, an investment, and a legacy plan rolled into one.
Who Can Make Voluntary Contributions?
If you’re an employee covered by the Contributory Pension Scheme, you’re eligible. It’s easy to start:
Speak with your company’s Human Resources or Finance team.
Indicate the amount and frequency you wish to contribute.
That’s It, your future just got a powerful boost.
And if you ever want to make a withdrawal? Simply send an email to hello@citizenspensions.com. We’ll handle the rest with the professionalism and care you deserve.
