Consequences of the Future Pensions Act (WTP) for your pension scheme

On May 30, the Senate approved the Future Pensions Act. The law came into effect on July 1, 2023. As a result, many things will change in the area of pension schemes. FHI and Klap insurance broker will periodically inform you about these changes and in this way we keep you informed of the current developments as well as the impact this has on your pension scheme.

Admission age lowered from 21 to 18 years
One of the first adjustments under the WTP concerns the mandatory lowering of the entry age. As of 1 January 2024, the entry age for all pension schemes must be lowered from 21 to 18.
We will soon know how the various pension providers will implement this and we will inform you about the way in which they will include this in the pension scheme.

Survivor's pension
The coverage of the survivor's pension will be independent of service time. As a result, the amount of the partner's pension will no longer depend on the employment history or the (to be achieved) years of service with the current employer.

In the new system, the survivor's pension in case of death before the retirement date will be a percentage of the salary with a maximum of 50%. This makes it clearer for employees what amount the partner will receive in case of death. This change will have consequences for the amount of the partner's and orphan's pension for almost all employees.

The calculation method must be adjusted and comply with the WTP by January 1, 2028 at the latest.

In addition, the partner qualification is clarified and adapted to a 'uniform' partner concept.

Lump sum withdrawal amount
Employees are given the right to withdraw a maximum of ten percent of the value of the accrued old-age pension as a lump sum upon retirement. The remaining lifelong pension benefit is reduced proportionally after withdrawal. The lump sum is freely disposable and offers employees the opportunity to make choices that suit their personal situation.

The treatment of the bill Act revision lump sum amount is not yet finished. The estimate is that this right will be introduced on 1 July 2024.                              

Transitional law (respectful effect)
The transitional law means that the existing available premium scheme with an increasing premium scale for existing employees may continue. For an insured average salary scheme, there is the possibility until 2027 to convert the scheme for existing employees to a available premium scheme with an increasing premium scale.

Finally
Do not accept the adjustment proposals that you receive directly from your pension provider without consulting Klap. The pension providers are faced with a huge challenge and will not always propose the most suitable change!

Changes to the pension scheme also require the consent of the Works Council (if present) and the individual employees (the consent of the Works Council does not replace the consent of the individual employee).

Pension communication and choice guidance are of great importance!

FHI and partner Klap Insurance Broker are ready to help you!

Meet Klap at our annual FHI HRM Current Affairs Seminar 2023
Learn more about the Future Pensions Act? Klap will be present at this year's seminar on Thursday, November 9, 2023. The seminar is the ideal meeting where you can get information and brainstorm with other HR professionals from the technology sectors!
Register now: Send a message to Marina van den Berg!

For questions or further explanation, you can contact us via the telephone number or email address below. You can also contact your own pension advisor.

T: (020) 2616134
M: pensioen@klap.com