Benefit services for multinational companies

Profion - Specialized in company pension schemes in Germany

Profion is the competent partner for multinational companies that would like to implement a benefit package for their German subsidiary according to a worldwide existing benefit philosophy. For instance, we are well aware of US corporations' needs and values and are in a position to adopt these consistent with the tools feasible in Germany. We take on the perspective of our international clients - taking a look through their eyes increases our awareness of the respective corporate culture.

Profion GmbH's consulting on the design and funding of suitable benefit plans for the employees of your German subsidiaries is authentic, competent and comprehensible.

Good to know!

Implementation of cost-efficient company pension schemes in line with the market - What is "in line with the market" in Germany?

The German social security system covers unemployment, sickness, pension, nursing care and accident insurance as well as parental and child allowance and is funded through contributions paid by the employees subject to social security contributions and the employers.

Supplementary company benefit schemes are relatively common in larger as well as in many small and medium-sized companies. Since 2002, employees have a legal right to salary sacrifice (employee-funded company pension scheme, similar to US 401k plans). The number of employees with a company pension in the private sector has in recent years risen from 35 % to 48 %. In the long term, the government estimates the share of employees with entitlements to company pension benefits to be up to 50 %. On all-German average, in 26 % of the companies with a pension plan, the funding was exclusively effected via salary sacrifice. The number of pension plans that are exclusively employer-funded, decreased from 54 % to currently 47 %. Purely employer-funded pension plans can primarily be found in sectors, in which there is fierce competition for specialized staff, like, for example, IT, internet and media, pharmaceuticals, telecommunications, legal and business consultancy services as well as engineering services. The trend is right now moving towards mixed funding. Within the last couple years, this type of plan funding has risen from 27 % to 39 %.

Administration of pension and benefit plans

We service and administer your company pension scheme - Focus on your core business while we are taking care of the administration of your pension and benefit plans.

Enhanced employer attractiveness, employee motivation

Employee Benefits provide companies with a tool to present themselves as attractive employers and enhance staff retention. Beyond the mere image factor, financial advantages arise for both parties. Your employees should comprehend their benefits, which is why, in addition to traditional information media such as benefit statements, we offer them also topical communication tools. We support, act as direct contact partner and answer all questions individually. For this purpose, we can set up an individual hotline or, if desired, take on the entire employee servicing and consulting.

Topical employee communication

Giving thoughts to retirement provision, protection against occupational disability and survivors' benefits is something that mainly young people often tend to defer indefinitely. We inform and educate your employees comprehensibly to these complex topics. The setting up of a consulting hotline or the integration of our communication concept in your company's intranet are additional options. For further transparency, there are detailed benefit statements as well as playful approaches like an online board game enabling employees to review their personal benefit situation.

Support funds as off-balance sheet funding vehicle

A special Profion feature is the founding, administration and servicing of support funds. Besides, we operate our own and independent, fully reinsured group support fund, (Euro-BetriebsPensionsFonds e.V. (EPF e.V.), for those clients, who do not have their own support fund. Our clients' advantages: This way of funding is not reflected in the balance sheet. And we take on the entire administration.

Salary Sacrifice/Deferred Payment

Since 2002, employees in Germany have a legal right to a company pension scheme by means of salary sacrifice. How do you organize your employees' salary sacrifice? One goal, many ways to get there: Which is the most appropriate one for you to take? We will be happy to identify that together with you.

Actuarial reports according to national or international accounting methods

Are you on top of your pension liabilities? We see to the preparation of your actuarial reports - according to national or international accounting methods like US-GAAP or IFRS. In order for you to assess the development of your benefit expenditure in the future, we will have projections and budget calculations prepared for you. In addition, we support you in due diligence audits and company valuations with regard to Employee Benefits schemes.

Life course systems und flexible working time accounts

Working time accounts provide your employees with the possibility of individual time management. More and more, the trend goes towards a more flexible working time. At the same time, it is important for employers to reduce additional costs for excess work. Working time accounts are the modern response to a changing work environment and attractive for both, employer and employee. The employees invest more time, mainly overtime, or money, e.g., special pay or salary portions. In return for that, they receive the accumulated account credits plus interest; for early retirement, for a sabbatical or as additional company pension scheme. Taxation is, however, not effected until the credit is drawn on.

Multinational pooling and flexible solutions for internationally mobile staff

We develop targeted expatriate or TCN schemes for your internationally mobile staff, audit existing pooling arrangements in relation to efficiency and correctness and act as contact for all requests on international Employee Benefit topics. Many multinational companies are not aware of their advantageous negotiating position towards insurer's networks. We show you how to play your trump cards and achieve excellent effects for you and your employees thanks to multinational pooling.

M&A consulting and support in due diligence reviews

In case of M&A transactions, a company's value is to be determined. This also includes the valuation of all costs and risks in the personnel area, like e.g. the existing benefit plans and fringe benefits. Profion supports companies in the Employee Benefits due diligence and identification of costs, risks and liabilities. We have years of experience in the implementation and management of benefit schemes and fringe benefits and assist in the course of a company transaction in the analysis and valuation of your benefits and, in case of merging two corporate cultures, in the harmonization of both cultures' benefits. Together with our network partners we provide our clients with a full service portfolio.