Protección reaches record figure in voluntary savings: 10 trillion pesos from over 450 thousand Colombians

Protección reaches record figure in voluntary savings: 10 trillion pesos from over 450 thousand Colombians

On World Savings Day, Protección delivers helpful personal finance tips Protección reaches record figure in voluntary savings: 10 trillion pesos from over 450 thousand Colombians. 

  • The latest report from the Financial Superintendency, corresponding to August, states that since January there have been more than 12 thousand new affiliates to voluntary pension funds at Protección, for a total of 450 thousand affiliates.
  • These historical savings of the affiliates of Voluntary Pensions in Protección, a leading company in voluntary savings among pension fund managers, are made up of the periodic savings every month that people make, for projects, retirement supplements, contingencies, among others .
  • During the year, the Company has implemented initiatives such as the financial wellness portal Take Control of Finances and 100% digital savings, so that, through small habits, with persistence and with easy access, people can achieve their objectives through savings.

Medellín, October 28, 2020.

Next October 31 is World Savings Day and, as different studies have shown, the culture of savings has risen in Colombians due to the global pandemic. For example, according to the results of an M&C survey on consumer trends, during the month of September, 74% of those surveyed stated that they are incredibly careful with how they are spending their
money. Likewise, people have made good use of this time to view savings as a mechanism that allows them to prepare for the unforeseen future events, which is evidenced in that the savings of the members of Protección’s Voluntary Pension Funds reached 10 trillion pesos, a record figure.

“Although it may seem paradoxical, we have shown that the current situation has driven an interest and awareness for saving, in which platforms such as Toma El Control and all the initiatives that seek to encourage financial habits, have been fundamental to close knowledge gaps and help people to channel this effort they are willing to make. In line with this, we are happy to announce that, as leaders in voluntary savings in the industry, the savings of more than 450 thousand people in Protección has reached 10 trillion pesos", said Juan David Correa, President of Protección.

Voluntary savings allow building an income that can generate significant returns, which constitute insured savings to cover life expectancy or for specific purposes, allowing people to be closer to the fulfillment of their dreams. In addition, benefits are obtained such as reducing tax or labor income for the year by up to 30%, as it is considered an external revenue stream; making withdrawals without being subject to the 4x1,000 tax; not having a 7% withholding tax on financial returns when you have ten years of permanence, it is used for housing or you have pension requirements; Also, the income not withdrawn does not add up to the total income for which income tax is paid, and the fact that extraordinary contributions can be made to accelerate the construction of the capital required for the development of your goals.