Expert Nedbay: PDS are more effective than bank deposits for long-term strategies

One of the main tools is the long-term savings program (LTSP). It allows people of any income to create a personal safety net with co-financing and government guarantees. Simply make small regular contributions to your NPF account, and after 15 years, or at age 55 for women and 60 for men, you can access your savings.

In the PDS, savings do not lie idle, but work for the individual:

• The state will co-finance the citizen's contributions in the amount of up to 36,000 rubles per year for 10 years,
• NPFs, like banks, earn investment income,
• The state guarantees the safety of savings in the NPF in the amount of up to 2.4 million rubles, including income.

The state also provides a separate tax deduction of 13% on contributions of up to 400,000 rubles per year. All these measures allow individuals to earn returns of 25% to 100% per annum over 10 years.

Moreover, at any point in time, the accumulated funds can be spent on expensive medical treatment. A long-term savings program is not only more profitable than traditional bank deposits, but also much more effective for long-term strategies. A person is not tempted to withdraw funds from the account and spend them on current needs, because the program's terms and conditions protect against this. Thus, over 15 years, your savings will multiply, transforming from a "savings for spare change" into a substantial safety net for unforeseen situations or a significant supplement to your future pension.

Retirement is not a matter of faith, but of timing. It will come as predictably as Monday after Sunday. Those who started saving early will face it with a plan, not anxiety.