Extra income for later
With Zwitserleven PensioenAanvullen you accrue extra income for later. This is on top of the pension you currently accrue through your employer. This extra contribution will be deducted from your gross salary and is now tax-free. You pay that tax when you retire, and it may be lower than it is now.
This is how PensioenAanvullen works.
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Potential tax benefits
Your extra contribution will be withheld from your gross salary. As a result, you may have to pay less taxes.
You decide: monthly or one-off
Choose what suits you best: a monthly or single payment.
Flexible changes
You can change your contributions at any time. It is also easy to stop PensioenAanvullen.
Contributing via your gross salary
Contributions are made through your gross salary. As a result, you do not pay tax on it now.
Possible tax advantage
However, starting on your retirement date, you will pay taxes on your pension income. Because, from the state pension date, the tax rate for the first tax bracket is lower, you may have to pay less tax than you do now. This may an advantage for you.
See in MijnZwitserleven how much room you have to make extra contributions, in addition to the contribution from your employer. You will then immediately see your expected pension income per month.
Good to know
- The maximum extra contribution depends on the tax allowance that is still unused in your scheme.
- PensioenAanvullen is invested in the same way as your basic pension scheme.
- The additionally accrued pension capital (the premium paid, including any profit made) is fixed until the retirement date.
- When you leave your employment, PensioenAanvullen stops. In that case, you will no longer be able to supplement your pension.
- With PensioenAanvullen you run an investment risk.
- With the non-contributory continuation in the event of incapacity for work, you ensure that PensioenAanvullen continues if you become incapacitated for work due to illness or accident. Your employer determines whether this premium exemption is mandatory or a choice.
If you pass away before your retirement date
If you have a pension scheme with Zwitzerleven:
Your pension capital will lapse, including the pension capital built up with your additional contributions. Because the pension capital will not be paid out if you pass away before the retirement date, Zwitserleven makes a monthly contribution to your pension capital. This increases the value of your pension capital.
If you have a pension scheme with Zwitserleven PPI:
Check your pension regulations to see which option your employer has arranged for you. There are two options:
- 1. Your pension capital will lapse. This also applies to the pension capital you have built up through your additional contributions. Since the pension capital will not be paid out if you pass away before the retirement date, a monthly contribution is made to your pension capital. This increases the value of your pension capital.
- 2. The pension capital will be used to increase the partner's pension and/or orphan's pension, or to buy partner and orphan pensions for your dependants. This also applies to the pension capital you have built up through your additional contributions.
When should you choose for PensioenAanvullen?
There are advantages and disadvantages to a pension top-up. Whether it is right for you therefore depends on what is important to you, and on your financial situation, now and in the future. First check mijnpensioenoverzicht.nl to see how much retirement income you can expect and how much your partner, if you have one, will get. This is the starting point for the choices you make for your pension.
The overview below shows the situations in which you could consider a pension top-up.
Pros
- You accrue extra retirement income for later.
- You pay no tax now on the extra deposit. When you retire, you will however pay tax on the extra retirement income. Given that the tax rate for the first tax bracket is lower from the state pension date, you may pay less tax than you do now.
- You reduce a possible pension gap.
- You are free to adjust or stop your extra deposit in the interim.
- Like your pension, your extra deposit is also invested. This gives you a chance of a higher return.
Cons
- You keep less of your salary if you make extra deposits.
- Money you put away for later cannot be used now.
- Your extra deposit is invested just like your pension, and this carries risks. The return may be disappointing.
- The pension top-up is linked to your pension scheme and will stop automatically if you leave your employment.
- If you pass away before the retirement date, the pension capital built up with the additional contributions will lapse, unless otherwise agreed in your pension scheme.
May suit you if:
- You have money left over at the end of the month or can easily spare money to deposit extra.
- You have some unused tax allowance.
- You want to choose your own moments to deposit extra contributions.
- You want to deposit more of your gross salary automatically.
Probably suits you less if:
- You are often short of money at the end of a month.
- You have no unused tax allowance, for example because you are already paying into an annuity.
- You prefer to save for your future in other ways.
- You expect to have enough pension and prefer to receive your salary currently.
How PensioenAanvullen works
Check out MijnZwitserleven to see which monthly or single payment is best suited to your situation.
You activate PensioenAanvullen. Your payment will be withheld from your gross salary.
Has your personal situation changed? You can always adjust or stop the supplementary payment.
Questions you may still have
Can I supplement my pension indefinitely?
Supplementing your pension can be quite beneficial. One of the benefits is that no wage tax is due on your contribution. However, there is a maximum supplementary amount that you can pay within your pension scheme, which is referred to as the tax allowance. This tax allowance is determined on several factors, including your salary and the pension contribution via your employer. You will find your applicable tax allowance in MijnZwitserleven.
What are the different options to supplement my pension?
Check out MijnZwitserleven to see if your pension scheme allows for supplementing your pension. You will also see the tax allowance available to you. You decide how much of it you want to use. You can make monthly payments. A single payment is also an option.
What happens to the extra contributions to my pension scheme?
Your extra contribution with PensioenAanvullen will be invested according to the same profile as your basic pension scheme. You can change your investment profile in MijnZwitserleven whenever you want.
What do I have to consider before supplementing my pension?
Supplementing your pension should first of all suit your personal situation; do you think it is important to accrue a higher pension and can you make the extra contribution. In addition, it is important to carefully consider the features of the various options: the expected return, possible tax benefits, how you want to invest, whether or not contributions can be withdrawn, etc. You should also pay close attention to whether you have an annuity insurance or other pension product for which you make payments.
Is my choice to supplement my pension final?
You can change or stop your monthly contributions whenever you want. Keep in mind that your choice will be implemented starting the next month.
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.