To provide people, who reach the retirement age, of sufficient income, a few provisions have been taken. The Dutch pension system is based on three pillars.

  1. The AOW (Algemene Ouderdomswet); a state old age pension
    will provide a basic income. Every citizen in the Netherlands will receive this basic pension throught the Sociale Verzekeringsbank. The government finances the AOW based on the actual received premiums. The payments are not derived from a general fund.
  2. Additional retirement income provided by the employer
    The majority of the employers in the Netherlands has arranged a retirement settlement with the employees. This settlement provides, at time of retirement, an extra income to the AOW pension. For some branches this additional settlement is mandatory, for example for companies in the metal industry. Some companies may their own retirement fund for their own employees.
  3. You can also arrange for individusal supplements by life insurance, savings or other methods.

General information

General information on the Dutch pension system, how to apply for pension and what to arrange when you’ve worked in different countries, can be found on the website of the national government