Poland’s ZUS will increase the 14th pension by up to 200 PLN, but a single form submission altering tax collection impacts payout amounts for seniors.
Pension Increase via EPD-21 Form
ZUS will increase the 14th pension by up to several hundred PLN through the submission of form EPD-21, which changes the method of tax collection. Primarily, seniors with lower benefits will profit, though some may find the tax arrangement disadvantageous.
The combined effect of tax and income mechanisms determines the final amount received.
Who Benefits from EPD-21?
Form EPD-21 allows pensioners to waive advance tax deductions. This means ZUS will not deduct PIT from pensions or additional benefits, including the 13th and 14th pensions. This is most beneficial for those who do not exceed an annual income of 30,000 PLN.
Net 14th Pension with EPD-21
In 2026, the maximum 14th pension is approximately 1,978.49 PLN gross, typically netting around 1,630–1,650 PLN. With EPD-21, the payout can approach the gross amount, though health insurance contributions still apply.
The “Zloty for Zloty” Mechanism
The 14th pension amount isn’t fixed like the 13th pension. A “zloty for zloty” mechanism applies, meaning full payment is received up to 2,900 PLN gross. Above this threshold, the 14th pension is reduced by one zloty for each additional zloty earned, and it’s unavailable above approximately 4,828.49 PLN gross.
Consequently, those with lower pensions benefit the most from EPD-21, while the advantage diminishes with higher pension amounts.
Example Scenarios
A pensioner receiving 2,300 PLN in monthly benefits and no other income could gain approximately 150–200 PLN. However, the actual gain depends on the pension amount and the “zloty for zloty” rule.
What if You Don’t Submit EPD-21?
Without the EPD-21 form, standard ZUS procedures apply, with advance tax deductions made at the time of payout. The full tax refund is received after annual PIT settlement, often several months later.
Risk of Tax Underpayment with EPD-21
Submitting EPD-21 carries a risk if annual income exceeds 30,000 PLN. ZUS initially won’t deduct taxes, but may later apply them, potentially resulting in a tax liability at year-end.
This primarily affects those with additional income sources, such as contracts, second pensions, or rental income.
How to Submit Form EPD-21
The EPD-21 form is straightforward and can be completed in minutes. It’s valid until revoked, so careful consideration is advised. Submission can be done online via PUE ZUS.
Frequently Asked Questions
EPD-21 applies to all ZUS benefits, including the 13th pension. It can be submitted online through PUE ZUS and withdrawn at any time. The greatest benefit is for seniors with annual income below 30,000 PLN and no other income sources.