1. The deduction ceiling for pension savings rises to €4,500

The tax deduction ceiling for third-pillar pension savings contracts under article 111bis LIR rises from €3,200 to €4,500 per year and per person. This is an increase of 41%, and it applies from the 2026 tax return onwards.

Before 2026, the annual ceiling was €3,200 per person and €6,400 for a couple.
Since 2026, it is €4,500 per person and €9,000 for a couple.

In practical terms, if your marginal tax rate is 35%, paying €4,500 into your pension savings contract could save you €1,575 in tax over the year. For a couple where both partners pay up to the ceiling and have a 42% marginal tax rate, the tax saving is more than €3,780 per year.

Good to know: The €4,500 ceiling applies per person, not per household. For couples, each partner can deduct up to €4,500, or €9,000 in total. If you already have an R-Vie Pension Raiffeisen contract, this may be a good time to review your monthly payments, with €375 per month needed to reach the new ceiling.

R-Vie Pension Raiffeisen: designed for Luxembourg

The R-Vie Pension retirement savings contract is designed for residents and cross-border workers in Luxembourg. It combines security and performance:

guaranteed capital of up to 50%
invest responsibly in ESG funds
flexible contributions adapted to your personal situation and pace.

If you do not yet have a contract, you can make an appointment at a branch or call 2450 1234.

What is changing for your taxes in Luxembourg in 2026

File your return on taxx.lu