New entitlements and rules for pension
The Netherlands has had a new law for pensions since 1 July 2023. This should make pensions more understandable, more personal and more future-proof. But what exactly does this law entail? What stays the same and what changes? We have set out the most important changes for you.
When will it take effect?
Your employer will soon have to switch to a new pension scheme. This should be done by 1 January 2028* at the latest. So it may be a while before you have to deal with all the new pension rules.
*This date is currently not finalised in law
Much stays the same
Not everything changes. You will still be able to accrue a pension through your employer. And you will receive state retirement pension from the government. If you currently accrue pension through your employer, then, with few exceptions, you will receive retirement income.
An overview of your pension income is available in MijnZwitserleven.
Accrued pension remains
Your pension accrued thus far will continue to fall under the old pension rules. The new pension rules apply to the pension you accrue once your employer switches to a pension scheme covered by the new law. This means that if you have accrued guaranteed pension with Zwitserleven, nothing will happen to it. View your pension in MijnZwitserleven, under My pension. Or view your latest Uniform Pension Statement under 'Documents'.
1. One type of scheme
New schemes where a pension income or pension capital is fixed in advance are no longer possible under the new Pensions Act. This means that in the new pension scheme, you will always accrue pension in a so-called defined contribution scheme. The deposit is invested and, as a result, the amount of pension income is not fixed in advance. When you retire, you use the investment value to buy your own retirement income from a pension provider. You can then choose between a fixed and variable pension.
2. Deposit no longer depends on your age
An employer pays a contribution for each participant into the pension scheme. Once your employer has a new scheme, the same contribution rate will apply to younger and older participants in all new defined contribution schemes.
3. Partner’s and orphan’s pension to become clearer
In the new pension scheme, it is clear exactly how much your partner or child will get when you pass away.
- The partner’s pension if a participant passes away after their retirement date is 70% of the retirement pension. Deviation is possible, at your request.
- The partner's pension in case of a participant passing away before the retirement date is a percentage of (part of) the salary (maximum 50%).
- The orphan’s pension will be capped at 20% of the salary (40% for full orphans) and will be paid until the child reaches 25 years of age.
4. Voluntary partner's pension
Does your employer have no, or only partial, partner's pension insured in your pension scheme? If so, you may be able to voluntarily insure it. That depends on the arrangements your employer has made. You can then choose to insure this yourself, up to a maximum of 50 per cent of your salary. You pay the premium for this from your gross salary through your employer.
5. Maximum entry age lowered to 18
From 1 January 2024, the maximum entry age will go from 21 to 18. . This means that employers with a pension scheme must allow employees as young as 18 to participate in the pension scheme.
6. Not sure yet: Lump sum payable, 10% freely disposable
You may have heard of it: withdrawing 10% of your pension as a lump sum. Everything about this plan can be found on this page.
Are you already receiving a retirement income from Zwitserleven?
For you, nothing will change because of the new law. You will receive your pension from Zwitserleven as per the agreements made. Do you have a variable pension benefit, or a high-low pension? Those arrangements will not change either.
Accrued a pension with Zwitserleven in the past?
Have you accrued a pension at Zwitserleven? That pension pot will not change due to the new law on pensions.
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.