The Dutch pension system is built on three important pillars: the AOW, the employer pension and individual pension savings. Together, these provide financial security after your working life.
The structure of the pension system
| Pillar | Description | Responsible Party |
|---|---|---|
| 1st pillar | AOW (basic benefit) | Government (SVB) |
| 2nd pillar | Pension via employer | Pension fund or insurer |
| 3rd pillar | Own savings arrangements | Individual (e.g. annuity) |
First pillar: General Old Age Act (AOW)
The AOW forms the basis of your pension and is provided by the government:
- Everyone who reaches AOW age is entitled to it
- Accrual takes place by living in the Netherlands (2% per year)
- The benefit varies depending on your living situation (single or cohabiting)
- Maximum AOW after 50 years of residence in the Netherlands
Second pillar: Pension via your employer
Many people save for their pension through their job:
- Premiums are paid by both employer and employee
- Accrual occurs at a fund or insurance company
- The amount depends on your income, number of working years and the scheme
- With the new Pension Act, it shifts to a personal pot
Third pillar: Saving for later yourself
You can also make your own additional provisions:
- Via products such as annuities or bank savings
- Tax advantage: contributions are often deductible
- Ideal for self-employed persons and people without an employer scheme
Frequently asked questions about pensions in Utrecht
Is my pension sufficient?
Check your accrual via mijnpensioenoverzicht.nl. Here you can see an overview of your AOW and employer pensions.
Do I save for pension as a self-employed person?
As a self-employed person, you usually have no employer pension. You can save yourself via the third pillar, for example with an annuity.
What does the new Pension Act mean for me?
The new act introduces personal pension capital, so you can see more clearly what you have. However, a fixed benefit is no longer guaranteed.
Extra information for Utrecht
Do you have legal questions about your pension or do you want to seek advice? Visit the Juridisch Loket Utrecht at Catharijnesingel 55 for free support. For complex matters, you can go to the District Court of Midden-Nederland, located at Vrouwe Justitiaplein 1.
Practical questions about your pension
Am I entitled to AOW?
If you live or work in the Netherlands, you automatically accrue AOW. For each year you are here between your 15th and AOW age, you get 2% accrual. Check your status on mijnpensioenoverzicht.nl. Did you live abroad for a while? Then your benefit may be lower. The SVB determines your final amount.
What if I change employers?
Your accrued pension remains in place, but your new job may have a different scheme. Value transfer to your new fund is possible, but not mandatory. Compare the conditions via your pension administrator or an advisor.
Tax on my pension?
You pay income tax on AOW and employer pension, depending on your total income. For the third pillar, contributions are deductible, but payouts are taxable. Use tools from the Tax Authorities for an indication.
Stop working earlier?
That is possible, but your AOW only starts at the set age. You must arrange income yourself for that period. Employer pension can sometimes start earlier, but will then be lower. Consult your fund or a financial planner.