Bonus plan
Pay part or all of your employees' variable remuneration into group insurance: enjoy tax benefits and a compelling return on investment.
More info
The best of both worlds. A modern and flexible solution to build up a supplementary pension nest egg for your staff members, plus plenty of benefits for you as their employer.
Cash Balance
Six key benefits that make all the difference.
Group funding
Set the benefit amount payable to your staff members upfront as well as the employer-guaranteed return on investment.
Select the rate of return your staff members will earn
Set the benefit amount payable to your staff members upfront as well as the employer-guaranteed return on investment.
Minimum allocation
Do the reserves you've accrued exceed your commitments to your staff members? Opt for a minimum allocation and hold back a buffer for future payouts.
Possible as a cafeteria plan option
Determine the budget, the risk covers and the menu of options your staff members can choose from.
Streamlined data exchange
Say goodbye to mounds of paperwork. With AG EB Online, you can manage your staff members' data quickly and easily.
All benefits in one handy app
With MyAG Employee Benefits, your staff members can access their benefits anytime and anywhere, via their computer or app. Plus they can also make use of services to boost their mental resilience (only via the app).
On this page:
The choice is yours.
Individual entitlements
In a Cash Balance plan, you get to set the benefit amount as well as the return you want to award your staff members. This return can be a fixed percentage or the return on a financial instrument or an index such as OLO linear bonds. Every month, a contribution will be credited to a notional account in the plan participant’s name (your staff member's virtual "piggy bank"). This amount will then grow annually based on your selected rate of return.
Group funding
Your staff members’ individual entitlements will accrue through periodic contributions that you pay into a group financing fund of your choosing. Depending on your risk appetite, you choose how to invest these contributions:
- Branch 21 with a guaranteed return
- Branch 23 with no guaranteed return, with different underlying assets: equities, bonds, cash and real estate.
You choose the investment strategy, taking into account the employer-guaranteed return, the risk profile of the selected funds, and any safety margin (buffer) you want to build up.
This is the recipe for a diversified portfolio that generates above-average returns.
Keep your periodic payments under control
With a thoughtfully crafted investment strategy, it is perfectly possible for the reserves held in your financing fund to exceed the commitments made to your employees.
This investment buffer gives you two options:
You keep the surplus to use later, at a time of your choosing. In the meantime, you pay a minimum allocation and the surplus continues to grow depending on the return earned on your financing fund.
You stop paying any premiums until the surplus has been used up. This is known as a "Contribution Holiday".
Freedom of choice for your staff members
Inclusion in a cafeteria plan
You can easily incorporate a Cash Balance plan in a cafeteria plan.
It’s up to you to determine:
- the budget allocated to the group insurance plan
- the employer-guaranteed return
- the risk covers you wish to include in the plan (funded out of the regular budget or from additional resources)
- the menu of coverage options for your staff members to choose from
The plan participants can then pick and choose from the menu of options: within the limits you set, they can determine the risk coverage levels, such as death benefit coverage and disability benefits.
Cash advances
You can give your staff members the option to take out a cash advance against their supplementary pension benefits. This way, they can apply a portion of their accrued pension reserves towards buying or remodeling real estate or to pay off a mortgage loan, before they reach retirement age.
Incorporating a Cash Balance plan in a cafeteria plan gives your employees the freedom to make their own choices.
AG Employee Benefits & Health Care has capitalised on the digital revolution to provide you with additional value.
A unique plus point: digital support
AG Employee Benefits & Health Care has capitalised on the digital revolution to provide you with additional value. For the benefit of you and your staff members, we’ve developed a unique digital platform that offers a multitude of possibilities, all designed to streamline the data transfer process, and in a user-friendly environment.
AG EB Online
Enrolling new staff members, managing current plan participants, exchanging other data... less administrative hassle, more convenience for your data transfer needs. With this user-friendly online tool, you're in complete control.
MyAG Employee Benefits
It's a secure, user-friendly app and platform for plan participants to find out everything they want to know about their corporate-sponsored group insurance. Via the app, your employees can access their covers, anytime and anywhere. All of the MyAG Employee Benefits features are also available via your computer, but the services are only accessible via the MyAG Employee Benefits app.
- Handy features wherever and whenever your employees need them
In just a few keystrokes, your plan participants can check the size of their supplementary pension as well as their death benefit coverage. And that’s not all – we’ve also incorporated their healthcare insurance. - Services to help your staff members take care of their health (only on the app)
With the MyAG Employee Benefits app, they'll be entitled to a number of additional services to boost their mental resilience.
Easy access to a wide range of front-line care and support to stay mentally and physically healthy with My Mind by AG.
Information on sustainability
Depending on the selected funds, the plan incorporates ESG factors that allow it to make a positive impact on the environment and/or society and to limit negative impacts on the environment and/or society, through an appropriate selection of investments. Information on these ESG factors is available here (FR - NL). To find out more about AG's approach to sustainable and responsible investing, go to ag.be/investing/sustainability.
You will also find more information in the Sustainability Fact Sheet (FR - NL) for each of the available funds in this product as well as the corresponding annual report (FR - NL).
For customers looking to double down on their commitment to ESG, AG also offers Branch 21 (FR - NL) and Branch 23 (FR - NL) products that take an even more advanced approach.
Want to find out more? Ask your questions about our Cash Balance Plan or request a non-binding offer via the contact button. You can also check the AG EB Invest Dashboard for a clear and detailed overview of each of our funds.