Pension 2023 – what is it and who benefits from it?

The pension is a solution designed for senior citizens whose ZUS or KRUS benefits are not enough to cover their living costs. Senior citizens who have an apartment or a house can collect up to PLN 3,000 per month. What should I consider before choosing an annuity?


A low pension combined with a high cost of living is a problem for many elderly people. Older people who have a house or apartment can sell it, but, firstly, it will not be easy to find a new place, and secondly, “old trees are not replanted.” However, there is another solution that allows you to keep the property and at the same time enjoy its benefits for life.

The pension is a cash supplement that can be collected with benefits paid by ZUS, KRUS or other pension authorities. It consists in “exchanging” an apartment, house or land for a monthly allotment.

It is about transferring the right of ownership to an entity that will pay us in exchange for life every month from several hundred to several thousand zlotys. At the same time, the elderly person may continue to stay in the apartment or house under the current conditions. After the death of the condo, it will no longer be part of the estate.

Seniors over the age of 65 are often offered an annuity Landlords or relatives (such as adult children) who want to provide quality care for their parents. This solution can be an alternative to different types of loans offered by non-banking institutions.

So what’s the point? Good The sum of payments to the main account usually does not exceed 30-40 percent. property values. However, for many seniors who have financial problems and need to stay at home, it will still be a useful solution. However, before you decide to sign a contract, you need to pay attention to some very important details.

Many people are afraid to take advantage of annuities because of security issues, such as the risk of losing money or having a roof over their heads after a company goes bankrupt. These considerations are understandable and even advisable, which is why it will be necessary to take care of the appropriate guarantees when signing the contract.

When looking for offers with an annual fee, it is better to choose a contract with a professional and experienced fund that has the appropriate competencies and a large financial base, which is a guarantee of security and regular payments.

Every annual contract must contain a provision for the lifetime use of the building. It is about a clear guarantee that the elderly will be able to use the property under the same conditions as before until the end of his life. Often, companies also allow you to rent an apartment and transfer benefits to an elderly person if they end up in a shelter.

Another guarantee is the procedure thanks to which the senior citizen can request the return of assets if the company is late in paying the benefit. Signing a contract without a clear stipulation on this subject is associated with high risks, which are best avoided.

It is also worth remembering The new owner must be responsible for paying the permanent usufruct fee and paying the property tax. On the other hand, older people usually still have to deal with repairs or any changes that need to be made in the apartment themselves, although some companies also offer an assistance package that covers fixing any breakdowns.

The annuity contract is drawn up in the form of a notarized bond. All fees related to property valuation and contract preparation must be covered by the company offering to pay this benefit.

So people who decide to get an annuity should analyze the contract carefully, preferably with the help of an expert or relative. The Life Advantage is also offered in many other countries such as France, Great Britain, and the United States of America.

The amount of the installment is affected by several factors, such as the value of the property, the age and health of the applicant, as well as the location of the house or apartment. Real estate in small towns may negatively affect the amount of the benefit.

Before we know the amount of the annuities, the company we sign the contract with will send us an appraiser to estimate the value of the building. On this basis, the estimated amount of the pension will be prepared, reduced by the housing fee (including utilities and rent).

The annuity usually ranges from PLN 200 to PLN 1,000Although sometimes it can reach 3000. It is worth remembering that no more than 50 percent will go into the hands of an old man during his lifetime. The value of the movable property.

On the Polish market you can also find reverse mortgage offers. This name is often used interchangeably with an annuity, but there are several basic differences between these services.

In the case of a reverse mortgage, the following distinctions can be noted:

  • money is paid for the period specified in the contract, i.e. not always for life,
  • The property is transferred after the death of the elderly person, and not after the signing of the contract, and therefore the insurance fees for the property or the permanent usufruct are still the responsibility of the person who transfers the property,
  • Banks offer reverse mortgages, but no institution in Poland has currently offered such a possibility in their offer.

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