No taxation on contributions
Because you save with your personal money in your Vantik account, you’ll never pay taxes on the contributions you’ve made. However, if you make a profit, you have to pay taxes on this profit.
Tax-free profits with a tax exemption order
Additionally, you can activate a tax exemption order in our webapp. This lets you make a profit of € 801 tax-free. For example, with an assumed yearly return of 3 % you could invest up to € 26,700 without paying a cent in tax.
Remember: For this, you must complete the tax exemption order, which can be done in your webapp settings in less than a minute.
Tax on profits
Any additional profits that you make with the Vantik Fund, are automatically taxed on payout. And with only 70% of the usual tax rate of 26.4% (25% so-called final withholding tax plus 5.5% solidarity surcharge on this and potential church tax). Hence the 18.48%. If your personal tax rate is lower, you’ll get the difference from the tax office.
Since you might not realise your profits for a very long time, the tax office charges some tax in advance based on a conservative projection. This is called advance taxation.
Paying tax now or later
A note on traditional pension solutions, like statutory pension, corporate pension and the German Riester pension: contributions are usually taken out of your paycheck before tax, however, you will have to pay tax on all contributions later, when you pay out.