Anyone aged 18 or over can join a personal pension plan with an MFSA licensed pension provider in Malta. Most residents are eligible, whether they are employed, self-employed, or not currently working.
Minimum contribution levels vary depending on the pension plan and the provider.
Pension savings are generally accessible between the ages of 61 and 70, depending on the specific terms and conditions of the plan.
When you reach retirement age (currently between 61 and 70 years), you may access your pension savings in the following ways:
- Withdraw up to 30% of your accumulated pension savings as a lump sum (which may be tax-free depending on the pension plan and applicable tax rules, and / or
- Use the remaining balance, which is generally taxable depending on your tax bracket, to receive a regular income, either through:
- an annuity: which provides a regular income for life; or
- programmed withdrawals: where you withdraw a planned amount over time, subject to limits set by the pension provider.
Any remaining funds continue to be invested, while withdrawal limits help ensure your savings last throughout retirement.
