ABP pension fund will calculate with the age of 68 years
The unions and employers in the government and education sector reached a negotiation agreement last week on a simpler pension scheme and an increase in the retirement age to 68 years.
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Everyone over the age of 60 can also choose in the future when he or she retires. The ABP scheme says nothing about this. The pension fund itself will calculate with a retirement age of 68, which was 67 years.
The age that the ABP pension fund, the largest pension fund for government officials, takes into account will be increased to 68 years. The annual accrual percentage of the pension remains 1.875 percent. This percentage is the highest possible under current legislation. The increase to 68 years is a translation of a statutory rule to the ABP scheme.
Simplify scheme
The pension scheme has become very complicated in recent years due to many changes. Both ABP and the regulator De Nederlandse Bank indicated that the scheme would eventually become unenforceable. In order to make the scheme simpler, it will be adjusted on points. For example, the survivor's pension, the pension accrual during unemployment and disability are adjusted. Nothing will change for people with ABP benefits. Only if there is a survivor's pension and remarriage will the scheme change in a positive sense for people who already receive benefits.
Survivor's pension
The big change and improvement is that you are going to save for the survivor's pension. The current survivor's pension (before AOW age) is an insurance policy. When you no longer work for an ABP employer, your partner will not receive a survivor's pension in the event of your death for the years that you worked for an ABP employer. In the new system, the accrual of the survivor's pension is the same as the retirement pension. You can also take this survivor's pension with you to a new pension provider. If you are not making use of a survivor's pension, for example because you do not have a partner, you can use the survivor's pension to increase the retirement pension. This was and will remain so.
The current scheme includes compensation in the event that the partner is not entitled to a benefit based on the General Surviving Dependents Act. This compensation will expire on 1 January 2018.
The orphan's pension has been increased from 10 percent of the old-age pension to 14 percent and, in the absence of a personal income, will be increased until the age of 25. This was 21 years.
Once the survivor's pension has commenced, this pension will no longer be reduced if the partner gets married again. That is now the case. This is the only change that applies to people who already receive survivors' benefits.
Once a survivor's pension has commenced, it will no longer be reduced if the partner remarries, which is now the case. This is the only change that also applies to people who already receive a survivor benefit.
Disability pension and pension accrual during unemployment
The calculation method has been adjusted for both schemes. This is emphatically not a cut, but a different calculation method may result in a different outcome in individual cases.
ABP premium
In 2016 it was agreed that the premium would increase in 2018 from 21,5 percent of pensionable income to 23,7 percent. Due to these new agreements, the premium will rise less and the premium will be 22,89 percent. Your employer will continue to pay 70 percent of this premium.
What now?
We would like to explain the agreement. That is why we are holding a webinar on Tuesday 18 July at 16.00 p.m. Would you like to know more about this agreement? Then sign up via AOb-Events. There is also an opportunity to ask questions during the webinar.
Would you rather attend a meeting to get more information about the agreement? Which can!
Tuesday 18 July 2017 from 19.30 pm to 21.30 pm in Zwolle Nieuwe Buitensocieteit Meeting Center Stationsplein 1, in Zwolle and Wednesday, July 19, 2017 from 19.30 pm to 21.30 pm in Utrecht FNV Central Trade Union Building Facet Hertogswetering 159 in Utrecht, the FNV will hold meetings to explain the agreement . You can attend. More information will be posted on the FNV website during the week.
Give your opinion on this agreement. That can be done via AObsector board Roelf van der Ploeg via: rvdploeg @aob. Nl
Agree
It concludes at the end of July AObboard or the union can agree to the proposed changes. Your opinion is important in that consideration.
