Your pension foundation at Mars
With the first step, Mars builds a solid foundation for your company pension scheme through the Pension Plan. This is financed by Mars only. You will receive a pension from Mars calculated at the end of your working life. You don’t pay in anything to this foundation or have to become active in any way, because the Pension Plan applies automatically to all associates with unlimited contracts who joined Mars before 1 January 2006.
This is how the Pension Plan benefits are calculated – an overview
The calculation is based on a fixed pension formula. There are two key factors playing a major role: your average income in your last years and your total years of service at Mars. These factors are multiplied with a pension factor:
This formula is applicable to your income up to the (average) Contribution Assessment Ceiling (CAC) published by the statutory pension system. If part of your income is above this ceiling, you also receive a benefit for that amount that is calculated on the same basis, but multiplied by a pension factor of 2.0%.
How benefits from the Pension Plan are calculated in detail
Years of service
Important for calculating your pension is the time you were most recently employed at Mars without interruption. A maximum of 35 years employment are credited. By the way, maternity leave or parental leave are not considered interruptions of your creditable service years!
For example: Max Marsmann joined Mars on 1 July 1990. On 1 January 2014 he resigns from his job to enter retirement, and until that time has been working at Mars uninterrupted. His creditable service time – including parental leave – is 23 years and 6 months.
Average income
The average of the last 3 highest pensionable annual incomes within the last 5 years of service.
For example: In the last 5 years before Max retired, his annual income was: 55,000 euro (in 2009), 56,100 euro (in 2010), 57,250 euro (in 2011), 58,400 euro (in 2012), 60,000 (in 2013). The three highest years are considered, i.e. 2011, 2012 and 2013. In the pension calculation, the average of these three years is considered – that is 58,550 euro.
This results in the following benefit
Service years and average income are multiplied by the factor of 0.6% – resulting in the annual pension! For Max, that would mean a life-long annual Mars pension of 8,255.55 euro – which is almost 688 euro per month.
Mars Pension Service
WTW AV 2 Mars Pension Service Mailbox 124 72102 Rottenburg a. Neckar Telephone: +49 611 585-82 530 Telefax: +49 611 794-44 28 Mo-Fr 09:00-12:00 Uhr mars-pension-service@wtwco.com
Pension Portal online
Calculate your pensions with help of the Mars Retirement Portal. Please have your Log-In-Data at hand!
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