New pension system: what is changing and what will stay the same?

The pension system is set to change. The estimated starting date is 1 July 2023. What will this mean for you?

Representatives of employers and employees have agreed on the conditions of a new pension system. That's because society has changed significantly – we tend to switch jobs more often or take a sabbatical, and the Dutch population is ageing. What’s more, we want people’s pensions to be able to withstand downturns in the economy. But not everything is changing. Here’s a summary:

What will stay the same?

• From your retirement age, you will be receiving a pension from the Dutch state (AOW). That will be the same under the new pension system.
• Many people build up a pension through their employer's pension plan. That's not going to change either.
• Your pension benefits will be paid out for the rest of your life.
• If you pass away, your partner will get a pension, even if you pass away before your retirement starts.
• If you become occupationally disabled, you will continue to build up a pension.

For a comprehensive overview of your pension at ING, your previous employers and your Dutch state pension (AOW), visit the government's website mijnpensioenoverzicht.nl. Or go to My Pension or the Pension Planner provided by ING CDC Pensioenfonds. 

What is going to change?

Personal pension capital
Employees will build up a personal pension capital under a defined contribution plan. When you're retired, you will get monthly pension benefits from that capital. No promises are made in advance about the amount of pension benefits you'll eventually get. However, you will have more insight into how much you and your employer are saving into the pension fund and how the investments made with that money grows.

Your current pension in ING CDC Pensioenfonds is a benefit plan, based on the CDC pension plan. The conditions and the amounts of this plan are summarised annually in your annual pension overview (UPO), which you can find on My Pension. For more details, visit the website or read the information sheet accompanying your UPO.

Pension will fluctuate more
When the economy does well, your pension in your employer's pension plan will be able to grow quickly. But if the economy slows down, your pension could decrease. In other words, your pension will fluctuate more. Once a year, you will be informed about the current amount of your pension.

Equivalent conditions for surviving dependant’s pension
In the new system, pension conditions will be the same for everyone. This means your surviving dependants’ pension will be more specified.

When will the new pension system take effect?
Once the Lower and Upper Houses of Parliament have approved the Future of Pensions Act, the new system is expected to take effect on 1 July 2023. After that, all employers, trade unions and pension administrators will have a transition period to implement the necessary changes. Via our website, we will keep you informed of the impact this will have on you and your pension.