Supplementary pension: closing the gap in good time

What you will actually get from the public pension, and how to build the part that is missing. We start from your own contribution history, not from a fund picked at random.

In short

  • The public pension covers 70-75% of last income on average: we first estimate your own gap, then decide how to close it.
  • Voluntary contributions are deductible up to €5,300 a year (2026 threshold), and the final benefit is taxed from 15% down to a minimum of 9%.
  • There are three supplementary pension schemes — negotiated, open and individual plans — with very different costs, membership rules and flexibility.
  • We reconstruct your pension profile, choose the scheme and investment line best suited to your horizon together, and review them over time.

Why estimate the gap before choosing?

Italy's public pension system is pay-as-you-go: today's workers' contributions pay the pensions of those who have already retired. It works, but it returns a benefit tied to your actual contribution history — not to your last salary. On average the public pension covers 70-75% of last income, but for broken careers, income that grew over time, or moves between employment and self-employment, the gap can be wider.

Supplementary pension schemes exist precisely to build, with your own saving capacity, the part the public system does not cover. Before choosing where to contribute it is worth knowing how much is actually missing, not just generically "how much is worth saving".

What supplementary pension schemes exist?

The first fork in the road is between three routes. Negotiated funds arise from sector-level collective bargaining: contained costs and, often, an employer contribution that is triggered by joining. Open funds are offered by banks and insurers, open to anyone regardless of sector. Individual pension plans are insurance contracts, aimed at those looking for more customisation in how the policy is built.

There is no single best scheme: the choice depends on your employment contract, on any employer contribution already available, and on how much you value flexibility against cost.

How do you choose the right investment line?

Within each scheme you also choose an investment line — from the most cautious, geared towards government bonds and fixed income, to the most dynamic, with a larger equity component. The basic rule is simple: the more years remain before retirement, the more it makes sense to tolerate short-term swings in search of higher long-term returns. Those approaching retirement gradually shift capital towards more cautious lines, so as not to suffer a market downturn just as the benefit is about to be paid.

Who it is for

When is it worth looking into this?

It is not a topic only for those close to retirement. These are the situations in which we see it come up most often.

You are under 35

Time is the most powerful lever you have: a few euro a month contributed today are worth more than twice as much as at 45.

You are between 45 and 55

There are still useful years left to recover part of the gap, but it takes more targeted choices and less time for mistakes.

You are self-employed or fund-registered

Professional pension funds have their own rules and often an even wider gap than employees face.

You already have a fund but not much else

Many join and then never check again which investment line they are in, or whether they are still contributing the right amount.

What changes in practice

The four numbers of supplementary pensions

Rates and thresholds should always be checked against the legislation in force for the relevant year.

70-75% The average share of last income covered by the public pension
€5,300 Annual deductibility limit for contributions from the 2026 tax year (2026 Budget Law)
15% → 9% Taxation of the final benefit, falling by 0.30% for each year of membership beyond the fifteenth
3 The schemes to choose from: negotiated fund, open fund, individual pension plan
How we work

From pension profile to choice, in five steps

  1. 01

    We read your contribution statement

    From your INPS profile or fund, we reconstruct the career contributed so far.

  2. 02

    We estimate age and benefit

    A projection of when you could retire and with what amount, under current legislation.

  3. 03

    We choose the scheme

    Negotiated, open or individual plan, checking first whether your contract triggers an employer contribution.

  4. 04

    We select the investment line

    Based on your real time horizon to retirement, not a generic risk preference.

  5. 05

    We monitor over time

    We review the investment line and the amount contributed when income, horizon or legislation change.

The mistakes we see most often

Three missed opportunities

Not deducting contributions

Some people contribute but never claim the tax benefit they are entitled to on their tax return, effectively losing part of the advantage of the whole exercise.

A guaranteed line with thirty years to go

Those with a long horizon who choose the most cautious line give up from the start the return that time would allow them to pursue.

Joining without asking about the employer contribution

Many collective agreements provide for a company contribution that is triggered only by joining: not checking for it means leaving it on the table.

How much do you really need to close the gap to a decent pension? Our simulators estimate your public benefit, compare the three supplementary pension schemes on real historical returns and calculate your tax advantage.
Go to the simulators →
Frequently asked questions

What we are asked most often

It depends on your contribution history, your pension fund and the age you will have reached. On average the public pension covers 70-75% of last income, but the gap varies a great deal from person to person: for those with a broken career or income that grew over time the gap can be wider. We estimate your own situation before working out how to close it.
Voluntary contributions are deductible from income up to €5,300 a year, a threshold in force from the 2026 tax year under the 2026 Budget Law (the previous limit was €5,164.57). The immediate tax saving depends on your marginal rate: the higher it is, the greater the benefit in the year you contribute.
Not usually: at least half of the benefit must be paid as an annuity, and the share that can be taken as a lump sum cannot exceed 50%. There are exceptions — for example when the calculated annuity turns out to be particularly low compared with the social allowance — that allow a larger share, or the whole capital, to be withdrawn. We check whether your case falls under one of these exceptions.
The pension position stays yours and follows you: you can transfer it to another fund, leave it inactive with no new contributions, or resume paying in whenever you want. After a long period of inactivity some funds classify it as a deferred position, but the capital accumulated is not lost and keeps being invested according to the chosen line.
Yes, in specific cases provided for by law: extraordinary medical expenses, buying or renovating a first home for yourself or your children and, after eight years of membership, further needs with no obligation to state a reason. The percentages available and the tax applied vary according to the reason.

Didn't find your question? Write to us directly — we answer personally.

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Your contact for pensions and severance pay

Elena Ceccato Abbamonte
Contact

Let's talk over a coffee

Bring your latest contribution statement, if you have already requested one: in one meeting we estimate your pension gap together, with no commitment.

Office
Via delle Terme 2, 31029 Vittorio Veneto (TV), Italy
Phone
+39 327 558 4213
Email
vittorioveneto.p13@allianzbankfa.it
Opening hours
9:30 – 12:30
15:00 – 18:30