The implementation of Employee Capital Plans consists of several stages. Currently, Phase IV of the programme has begun, and involves the implementation of PPK in micro-enterprises, i.e., entities employing less than 20 people as of 31.12.2019, and public institutions.
However, the smallest companies may be exempt from this obligation if they enjoy the status of micro-entrepreneurs and all their employees make a declaration to opt out of the programme.
According to the Entrepreneurs’ Law, a micro-entrepreneur is an entity which at least in one year out of the last two financial years jointly met the following conditions:
If a company enjoys the status of a micro-entrepreneur, but at least one person does not resign, the implementation of PPK must be carried out. Such an obligation will also arise when an entity which has not been obliged to establish a program hires an employee who will want to save in PPK.
It is worth noting that the Act on Employee Capital Plans penalizes inducement to resign from the PPK.
Learn more: Incitement to withdraw from the Employee Capital Plans (PPK) and penalties for it.
Companies obliged to implement Employee Capital Plans under Phase IV have the same obligations as larger entities which implemented the scheme earlier. The first step is to select a financial institution to run PPK and sign an agreement to manage the programme. The next step is to sign an agreement to run PPK.
The deadlines for the PPK implementation in microfirms are as follows:
The PPK implementation also requires the implementation of PPK administration processes and preparation for the ongoing operation of the programme.
In addition to the required agreements with the selected financial institution, a micro-entrepreneur who implements PPK must also fulfil other obligations related to the programme, including providing ongoing operation and conducting an information campaign for employees.
PPK implementation stages for micro-enterprises:
Selection of the financial institution and information campaign
The selection of the Financial Institution and the information campaign is the first stage of the preparations for PPK implementation. It should start with the selection of the representation of employees who will select the Financial Institution. Having chosen the Institution and having signed the agreement on PPK management, the employer shall be obliged to carry out an information campaign for employees. It is worth remembering to prepare the necessary documentation of this process, as it will certainly prove useful during a PIP audit. The first stage ends with signing the PPK management agreement.
Implementation of PPK administration processes
As part of the implementation of the PPK administration processes, the entrepreneur should adapt the company’s internal procedures to the PPK requirements, i.e.:
Ongoing PPK administration
The final stage is to launch the Employee Capital Plans programme. The ongoing PPK administration includes activities such as:
If a company or entrepreneur hiring employees, or a person acting on its behalf, fails to comply with the obligation to conclude a PPK management agreement within the deadline resulted from the provisions, it shall be subject to a fine of up to 1.5% of the wage fund in force in that employing entity in the financial year preceding the commission of the offence.
On the other hand, employing entities or persons acting on their behalf who fail to conclude a PPK running agreement within the deadline, fail to make timely payments to PPK, fail to report required data and/or fail to keep documentation on the calculation of PPK contributions are subject to fines ranging from PLN 1 000 to PLN 1 000 000.
PPK Support Services– check how we can help.
Learn more: Specific-task contracts – obligation of notification to ZUS from 2021
ul. Hrubieszowska 2
+48 22 295 33 00
NIP: 525-22-71-480, KRS: 0000167447,
REGON: 01551820200000. Sąd Rejonowy dla
m.st. Warszawy, XII Wydział Gospodarczy