It will not have escaped your notice that new pension rules will take effect on 1 July 2023. Initially this was 1 January 2023. This means that all pensions in the Netherlands have to be adjusted. Adjustments are possible until 1 January 2027. What does this mean for your pension with BeFrank? We have listed the most important points below.
What will remain the same?
At BeFrank, you have your own investment account. This will continue to be the case in the future. You accrue your own pension. This will not change. When the new rules take effect, your accumulated pension capital will remain yours. You will also still be able to choose where to purchase a pension when you retire. If you want to purchase fixed pension benefits at that time, that’s still possible as well. You then choose a pension administrator that offers this.
What will change?
Your BeFrank pension will soon be different in two respects:
1. The contribution percentage at which you accrue can change.
2. The surviving dependants’ pension will be standardised.
Your employer will decide whether and how the contribution percentage will change and how the surviving dependants’ pension will look. However, there are rules governing these decisions.
Good to know
The new law states that you can withdraw 10% of your pension as a lump sum when you retire. There are rules governing this. This may affect any allowances you receive. You might want to obtain expert advice on this.
What do the timelines look like?
If the Senate and House of Representatives agree, the rules will take effect on 1 July 2023. After that, your employer will have time to make choices for the new pension. Your employer will do this in consultation with his employees or the Works Council. The choices will then be passed on to BeFrank, so that we can properly implement the changes in your pension. BeFrank will notify you as soon as the new rules apply to you. Your employer must adjust the pension scheme by 1 January 2027 at the latest.