With effect from 1 January 2023, pensions for ING's employees, former employees and pensioners have been increased. The pension fund is granting as much indexation as possible. That’s good news.
The board of ING CDC Pensioenfonds is happy to announce it can increase pensions by 4.58%. The increase is based on the overall rise in consumer prices.
Policy funding ratio is the indicator
The ability of the pension fund to increase your pension to keep up with inflation depends on Dutch laws and regulations. The most important factor is the pension fund's policy funding ratio, which is equivalent to its average funding ratio for the preceding 12 months. Your pension can only be increased (indexation) if the policy funding ratio (the indicator) is higher than 110%.
Every year, Statistics Netherlands (CBS) measures the percentage by which consumer prices have risen in the Netherlands. In 2022, the rise was 16.93%. If the pension fund can increase your pension, it will apply the CBS's percentage.
Full or partial increase
The pension fund is only allowed to increase your pension by the full percentage if its policy funding ratio exceeds the level required by law. This level is currently around 143%. If its policy funding ratio is between 110% and 143%, the pension fund is allowed to grant partial indexation.
Given that the policy funding ratio on 30 September 2022 was 117%, partial indexation is allowed for the year 2022.
More information
Go to our website for a summary of the pension increases applied by the pension fund in recent years.
In February we will send you a personal letter regarding the indexation of your pension. You can also read letters from past years in My Pension.
