Net pension accrual
Is your salary more than €137,800 (2024)? In that case, you do not accrue pension on the part exceeding €137,800. With a net pension, you still accrue pension on the part exceeding this amount
Net pension is voluntary. Should you opt to participate, you pay a monthly contribution from your net salary. We then invest this contribution on your behalf. You can choose from HorizonBeleggen and - if permitted by your employer - also ProfielBeleggen or VrijBeleggen. You are also free to choose whether to insure net surviving dependants’ pension.
Check your pension scheme rules to see if you have the option to accrue net pension. Your pension scheme rules are available 'in MijnZwitserleven under ‘Documents’.
Buying a net pension with accrued capital
If you are about to retire and have accrued a net pension capital, you use this capital to buy a net pension income. At Zwitserleven, you can choose between a fixed or a variable pension income. This option will also be available if you accrued net pension capital with a different pension provider. You will not need to pay any tax and social security contributions on the income you will receive.
- 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.
Passing away before the retirement date
You can opt for additional surviving dependants' pension for your partner and children. Check the options for your situation and the amount of the partner's pension on MijnZwitserleven.
Read more about partner's pension, such as pros and cons and whether or not it suits you.
Tax and social security contributions
You pay us a monthly contribution through your employer, who deducts this from your gross salary. The capital you accrue this way is exempt from tax on investment income in Box 3 of income tax. Even if you receive pension income later, you will not pay tax and social security contributions. The same applies to your partner if they receive a net partner’s pension.
Net pension in brief
- Your employer decides whether to allow a net pension. Refer to MijnZwitserleven to see if you have this option. If yes, you can turn on net pension there yourself.
- You decide yourself whether to participate and for what amount.
- The investment options for your net pension are the same as those for your basic pension scheme. The choice you make for your net pension may differ from your choice for your basic pension scheme. Click here to find out more about investing.
- If you leave your employment with your employer, this scheme will cease. Do you pass away before your retirement date? And have you insured a partner’s pension? Then your partner will receive a pension income for as long as they live.
- If you get divorced, part of the accrued net pension is for your ex-partner.
- Zwitserleven will pay (part of) your pension accrual in case of (partial) occupational disability if your employer has included a contribution waiver for this in the pension scheme.
How it works
Zwitserleven’s net pension scheme enables you to accrue pension on the portion of your salary exceeding the amount of €137,800. You arrange this yourself in MijnZwitserleven.
If you are about to retire and have accumulated net pension capital, you use this capital to buy a net pension.
When your pension comes into payment, you will receive pension income every month. You do not pay tax and social security contributions on it.
Pros
- You accrue extra pension income for later.
- You do not pay tax on the value you accrue in the net scheme.
- You also do not pay tax on the pension income you receive from the net pension.
- If you pass away, there may be more money available for the partner's and/or orphan's pension.
- Your net contribution is invested just like your pension contribution in the gross pension scheme. As a result, you stand a chance of greater returns.
Cons
- Net pension contributions are not tax deductible.
- You will keep less of your net salary if you make contributions to net pension.
- When you leave employment, your net pension accrual stops.
- How much net pension there will be depends on the results of the investments. This means the pension capital you accrue is uncertain until the last moment.
A net pension may suit you if:
- Your income is well above the €137,800 limit.
- You do not want a big drop in income after retirement.
- You are already above the tax exemption with your equity.
A net pension may not suit you or may suit you less if:
- You prefer to have the highest possible income now.
- You do not want to invest extra.
- You prefer to choose a solution separate from your employer, such as a net annuity or investing yourself.
Personal advice
Want to buy a net pension with your accrued net pension capital? Then you will need advice from a pension adviser. They can answer your questions and give you independent advice on a pension income that suits you. The pension adviser will also arrange a quote and the application for you.