Think about your preliminary choice in good time
In your pension scheme, you accrue an income for later on. If you do this through a defined contribution scheme, you will receive a fixed or variable pension when your pension comes into payment. It is important to consider this choice in good time. Because if your preliminary choice is for a variable pension, we take this into account in advance. We will then invest in a different way. We call this preparing for a variable pension income.
Your choice for a fixed or variable pension
If you are nearing retirement, Zwitserleven allows you to choose between a fixed or a variable pension, or a combination of the two. See what the difference is between a fixed and a variable pension.
- With a fixed pension, you will receive the same amount of pension income every month. We determine this amount on the date you retire.
- If you opt for a variable pension, you will continue to invest after your retirement date with part of your pension capital. Your pension income will be redetermined each year.
You use the HorizonBeleggen investment form
Your pension scheme states the principle of HorizonBeleggen: preparing for a fixed pension or preparing for a variable pension. But you may deviate from this. If you do not make a choice, we will assume the default choice set out in your pension scheme.
If you decide to prepare for a fixed or variable pension, we will ensure you have an appropriate investment mix. So your investments will be matched to your wishes during the period when you receive your pension income. In doing so, we will take account of the risk that all participants in HorizonBeleggen are able and willing to take. The start date for preparing for a fixed or variable pension will then be 12 years before your retirement date.
You use the DynamischBeleggen investment form
Your pension scheme states the principle of HorizonBeleggen: preparing for a fixed pension or preparing for a variable pension. But you may deviate from this. If you do not make a choice, we will assume the default choice set out in your pension scheme.
If you decide to prepare for a fixed or variable pension, we will ensure you have an appropriate investment mix. So your investments will be matched to your wishes during the period when you receive your pension income. In doing so, we will take account of the risk that all participants in DynamischBeleggen are able and willing to take. The start date for preparing for a fixed or variable pension will then be 12 years before your retirement date.
You use the ProfielBeleggen investment form
You can choose to prepare for a fixed or variable pension and influence the mix of investments yourself. In this case, it is important that you review your investor profile, to ensure that your investment mix is more appropriate for the risk you are willing and able to take and more closely reflects your personal situation and wishes, You yourself decide whether you wish to prepare all or part of the value of your plan assets. The time when you will begin to prepare for a fixed or variable pension depends on your investor profile.
| Investor profile | Start of preparation for fixed or variable pension |
|---|---|
| Cautious | 18 years before the retirement date |
| Defensive | 15 years before the retirement date |
| Neutral | 12 years before the retirement date |
| Ambitious | 10 years before the retirement date |
| Offensive | 8 years before the retirement date |
You use the VrijBeleggen investment form
You yourself compose your investment mix. And you determine the extent to which your investment risk is reduced as you approach your standard retirement date. If you wish to receive a fixed or variable pension on your retirement date, you will have to take this into account yourself in your investment mix.
Determine your preliminary choice
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1. Define your investor profile in MijnZwitserleven
You go to the section 'My pension', and then click on 'Investments'. Or use the button below.
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2. Provide your preliminary pension choice
You then indicate whether your preliminary preference is for a fixed or variable pension.
Notifying or changing your choice at a later date
You can notify or change your preliminary choice at a later date. If you start preparing for a fixed or variable pension later or change your choice before your retirement date, the performance of your investments may not be optimal. Your investment risk in this case may be more or less than appropriate. This may have negative financial consequences. And you will pay a fee for the change.
When do you decide to prepare for a fixed or variable pension?
There are advantages and disadvantages to preparing for a fixed or variable pension, when you compare them. Whether it is right for you depends on what is important to you. And what options you have within your pension scheme. Therefore, first check in MijnZwitserleven which investment forms you can opt for. And whether it is possible to prepare for a variable pension.
Preparing for a fixed pension
Pros
- During the period you are accruing capital for your pension, your investments are matched to your preference to receive a fixed pension income from your retirement date.
- With ProfielBeleggen, you decide whether you want to prepare all or part of the value of your plan assets for a fixed pension. With HorizonBeleggen and DynamischBeleggen, we do this for you.
Cons
- Your investment risk will be less, as your investment risk is reduced by more before your standard retirement date. This means you have less chance of receiving a higher pension income.
- If you change your mind on your retirement date and choose a variable pension, your investment mix until your retirement date will be less appropriate for the purchase of your pension income. This may lead to a lower pension income.
This may suit you if you:
- plan to opt for a fixed pension on your retirement date; you are willing to accept the risks involved. you consider certainty about the level of your pension income to be important. Read more about risk reduction in the lifecycle.
- are willing and able to accept the risk of a lower pension income.
May be unsuitable or less suitable if you:
- plan to opt for a variable pension now or from your retirement date; you do not consider certainty about the level of your pension income to be important and are prepared to accept fluctuations in the level of your pension income.
- want to take advantage of the opportunity for a higher pension income.
Preparing for a variable pension
Pros
- During the period you are accruing capital for your pension, your investments are matched to your preference to receive a variable pension income from your retirement date.
- With ProfielBeleggen, you decide whether you want to prepare all or part of the value of your plan assets for a variable pension. With HorizonBeleggen and DynamischBeleggen, we do this for you.
- Your investment risk will be higher. This gives a chance of a higher pension income if you also opt for a variable pension from your retirement date.
Cons
- Your investment risk will be higher, as your investment risk is reduced less before your standard retirement date. This may lead to a lower pension income.
- If you change your mind on your retirement date and decide to take a fixed pension, your investment mix until your retirement date will be less appropriate for the purchase of your pension income. This may lead to a lower pension income.
This may suit you if you:
- plan to opt for a variable pension on your retirement date; you are willing to accept the risks involved. you consider certainty about the level of your pension income to be less important. Read more about risk reduction in the lifecycle.
- wish to take advantage of the opportunity for a higher pension income.
May be unsuitable or less suitable if you:
- plan to opt for a fixed pension now or from your retirement date; you consider certainty about the level of your pension income to be important and are not prepared to accept fluctuations in the level of your pension income.
- are unwilling or unable to accept the risk of a lower pension income.
Need advice on your choices?
We are happy to help you make choices for your pension. These choices may have major financial implications. Our guidance covers only your pension scheme with Zwitserleven. Whether a choice is right for you obviously depends on your whole personal situation, now and in the future.
Perhaps you should consider contacting an adviser, who can give you an overview of all your financial affairs and help you to make the most suitable choices.