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Morocco is a very desirable retirement destination for foreigners. It offers a vibrant lifestyle, year-round mild climate, stable government, and low crime rates for an affordable cost-of-living. It is also free from double taxation and obtaining property is straight forward.

The National Social Security Fund (Caisse Nationale de la Sécurité or CNSS) manages the social security fund with Caisse Marocaine des Retraites operating the Moroccan Retirement Fund.

There are two smaller schemes, RCAR for local state employees and temporary workers and Caisse Marocaine de Retraite (CMR) which administers a number of non-contributory pension schemes for old resistance fighters, civil and military invalidity pensions and some other 'special' payments which are being phased out.

State Pension Plan

Coverage

Salaried workers and apprentices in industry, commerce, forestry, agricultural cooperatives, and associations; persons employed by landlords, craftsmen, and certain categories of self-employed persons; and certain categories of fishermen are covered by social security. The self-employed are not covered.

To qualify for an old age pension:
• Over age 60 (55 for miners with at least five years of work underground)
• Have at least 3,240 days of coverage.
• Be no longer employed

Insured persons who do not meet the coverage qualifying condition at the normal age of retirement can continue to work and contribute on a voluntary basis. People may also take an early pension beginning at the age of 55 with at least 3,240 days of coverage if the employer agrees to pay the National Social Security Fund an amount equivalent to the value of the pension.

Benefits

Old-age pension is available at 50 percent of the insured's average monthly earnings in the last 96 months plus 1 percent of average monthly earnings for every 216 days of insurance exceeding 3,240 days, up to 70 percent.

Benefits are paid monthly or quarterly. The maximum average monthly earnings are 6,000 dirhams. The minimum pension is 600 dirhams. Benefits are adjusted periodically.

Contributions

People who are employed and insured contribute 3.96 percent of gross monthly earnings. This amount is automatically deducted from an employees salary.
The minimum monthly earnings used to calculate contributions is the legal monthly minimum wage - 1,433 dirhams in the agricultural sector and 2,028 dirhams in the nonagricultural sector.
The maximum monthly earnings used to calculate contributions are 6,000 dirhams.

Employers contribute 7.93 percent of gross monthly payroll. The minimum monthly earnings used to calculate contributions are the legal minimum wage.

Expat Pension

Morocco has bilateral pension agreements with several countries, including Morocco has several bi-lateral social security agreements with other countries. Those countries are France, Belgium, Spain, Sweden, Germany, Denmark, Romania, Libya, Tunisia, Canada, and Portugal.

Foreign Nationals in Morocco

Expats are considered an equal part of the Moroccan workforce. Foreign nationals living and working in Morocco have the same rights and responsibilities in terms of social security as Moroccan nationals. If they are subject to the bilateral social security agreement, they may also receive their Moroccan old age insurance pension payments in their country of origin once they return home.

Company Plans

Company pension funds are of benefit for people working in multiple countries throughout their career. A company plan can afford stability if an employees geographical location changes more than their employer.

Benefits and Contributions

Benefits and contributions are determined by the individual plan. The rate is subject to the perimeters of the plan.

Private Pension

Private pensions are an option for anyone not qualifying for a national pension or ineligible for a company pension. There are a wide range of private pension funds. Many are provided by the banks, but others operate independently.

Private pensions generally take on two possible forms :
• Individual Pension
• Collective Pension (divided into Associative and Company Schemes)

Contributions

There is usually a minimum monthly payment. It is also possible to continue to contribute to a personal pension plan abroad or to an offshore fund. Contributions to foreign pension schemes aren't tax deductible in Spain so all benefits paid are tax free.

Benefits

The amount of pension paid depends on the chosen type of policy. There is a maximum amount of contributions that are deductible from income. This depends on salary and contributions to other insurance schemes.