The Dutch Central Bank warns that many pension funds are still struggling with financial problems. If that remains the case, 2 million participants at three large pension funds will have their supplementary pension cuts on 1 January. The following year, another 33 pension funds with 7,7 million participants may face cutbacks.
Two million Dutch people may have their pension reduced
It seems almost inevitable that just under two million pensioners and working people will have their pension cuts next year and that may also affect pensioners in Thailand. Especially the pension funds in the metal industry, PME and PMT, had a bad last quarter after the stock market collapse.
The legal aspect of an Attestation de Vita
Pensioners who have deregistered in the Netherlands and live in Thailand, for example, are familiar with the Attestation de Vita. It is written proof, which is required by pension funds, among others, to demonstrate that someone is (still) alive. This means that after the death of someone, the pension benefit is stopped.
Despite frequent attention in politics and the media, the state pension age is still higher than expected for many people. A majority therefore indicates that they would like to stop working earlier than the state pension age.
Global Pension Index: 'The Netherlands once again has the best pension system in the world'
The Dutch pension system is the best in the world, according to the annual Global Pension Index of consultancy Mercer. Last year Denmark took off with this title, but the Netherlands has been number one again for seven years.
Very small pensions will expire on 1 January 2019
From 1 January 2019, very small pensions will expire. These are pensions of € 2 or less gross per year. This is allowed under new rules because the administration costs for these very small pensions are very high.
The funding ratios of the five largest industry pension funds rose slightly in the third quarter of 2018.
Dutch pensioners want to make beautiful trips
Pursue hobbies, make beautiful trips and spend more time with friends, children and grandchildren. Dutch people who already have their retirement in sight are bursting with plans for filling the time they will have in the future.
The EU will end its purchase program at the end of this year, interest rates are likely to rise
The European Central Bank has announced that the support program for the EU will be phased out from September through the purchase of government bonds and corporate bonds and will stop completely on December 31. In the longer term, if the program ends, it means that key interest rates could start rising again.
The pension funds are doing slightly better thanks to good investment results and higher interest rates in 2017. Small funds can again partially index. This is reported by De Nederlandsche Bank (DNB).
New law leads to less fragmented pensions
The Small Pension Value Transfer Act, which recently came into effect, leads to less fragmentation and a better overview for participants and simplification of administration.
Falling stock prices have damaged the recovery of the large Dutch pension funds. The five largest industry funds, including ABP, have announced that their financial position has deteriorated. As a result, the pension of many Dutch people will not be increased for the time being, a reduction cannot be ruled out.
Those who live abroad, such as in Thailand, can now have an annuity paid out without any problems. Previously this was often not possible. Together with DNB, the Ministry of Finance and the Tax and Customs Administration, the Dutch Association of Insurers has found a solution to the problems experienced by customers with an annuity when they move abroad or live abroad.
Pension funds have hundreds of millions of euros in unclaimed pensions in cash. The three largest funds alone, ABP, PFZW and PMT, involve at least 100.000 people and an amount of about 350 million euros, according to the AD.
Dutch people over 65 are remarkably satisfied with the life they lead. More than 65 percent of them give their own life a solid 8. One in five pensioners even rate their own life with a 9.
End of exit tax on pension and annuity near?
Invoking the current treaty, it may also be possible to put an end to the practices of the Foreign Revenue Service, including asking for tax numbers and requiring pension bodies to transfer pension to Thailand before issuing payroll tax exemptions.
Hurrah! My pension is going up!
Gringo received a letter announcing that his pension fund has decided to increase his pension as of January 1, 2017 due to a favorable policy funding ratio in combination with the CBS Price Index.