Taking out part of your pension in one go

If you retire from 1 January 2024, you can opt to have part of your accrued retirement pension paid out in one go. This is up to 10% of your total pension amount. This amount can be spent freely. By having an amount paid out in one go, your life-long pension benefits will be lower. A lump sum can also have consequences in terms of tax and any allowances or other benefits. Also, you can no longer make a number of other pension choices if you opt for a lump sum. So think carefully about whether you want a lump sum or not.

Yes, you decide how to spend the lump sum. You can use the money, for example, to pay off your mortgage or buy a bicycle. Or finally take that distant journey.

• Your monthly life-long benefits will be reduced. Therefore, it is important to check whether you will have enough pension left if you opt for a lump sum.
• You may have to pay more tax. This is because your lump sum counts as income. As a result, your income in the year of payment may partly fall into a higher tax bracket and you will have to pay more tax. Opting for a lump sum can therefore be disadvantageous from a tax point of view. More information can be found on belastingdienst.nl. You can postpone the date of payment until the month of January following the year in which your state pension (AOW) commences. This is only possible if you retire in the month in which you first receive AOW. If you choose to postpone the payment of your lump sum, this may have the advantage that the lump sum is taxed at a more favourable rate.
• Are you entitled to other benefits? For example healthcare allowance or rent allowance? Then the payment of the lump sum can have negative consequences for your allowances. This is because your income will increase in the year of payment. As a result, you may not be (fully) entitled to these allowances. And you may have to pay back (part of) your received allowances. Current information on benefits can be found on belastingdienst.nl. 
• Do you receive social assistance benefits? Then contact your local council to discuss the possible consequences for these benefits. This is because your income will increase in the year of payment. As a result, you may not be (fully) entitled to these benefits.
• Are you entitled to an income-dependent scheme? Such as benefits under the Surviving Dependants Act (Anw), supplementary AOW benefits or the supplementary income provision for the elderly (AIO)? If so, go to the website of the Social Insurance Bank for the consequences that a lump sum has for these benefits. This is because your income will increase in the year of payment. As a result, you may not be (fully) entitled to these benefits. And you may have to repay them (in part).

If you opt for a lump sum, this will have consequences for other pension options you have with us:

• You cannot combine a lump sum with the option of temporarily receiving a higher pension and then a lower one, or vice versa.
• You cannot combine a lump sum with the option of an AOW bridging pension.
• You cannot combine a lump sum with an equal pension after death.

All other pension options can be combined with the choice for a lump sum. For example, after opting for a lump sum, you can choose to (partially) exchange the partner’s pension for a higher retirement pension. Check here for other options you have for your pension.

Will you be retiring from 1 January 2025? Then you can choose to have up to 10% of your retirement pension paid out in one go on your retirement date. The date of 1 January 2025 is subject to change as the law is not yet final. If you are retiring soon, you will receive a letter from us explaining how you can apply for your pension and the options you have. If your pension has fully commenced before 1 January 2025, then you cannot opt for a lump sum.

Please note: the law concerning a ‘lump sum’ has not yet been finalised. The information on this page is therefore still subject to approval. The effective date has already been postponed a couple of times. So it is not certain yet that you can opt for a 'lump sum' as of 1 January 2025. We will keep you updated via this page.

You can request a lump sum six months before your retirement date. This also applies to other options you have for your pension. If you are retiring soon, you will receive a letter from us explaining how you can apply for your pension and the options you have. If your pension has fully commenced before 1 January 2025, then you cannot opt for a lump sum.

Please note:
Unfortunately you cannot yet make this pension choice via MijnPGB. It is not yet known when this will be possible. We will keep you informed via this page. If you opt for a ‘lump sum’ and want to apply for your pension now, please contact our Client Services.

Good to know: If you don’t opt for a ‘lump sum’, you can apply for your pension here. 

Important point:
The law concerning a ‘lump sum’ has not yet been finalised. The information on this page is therefore still subject to approval. The effective date has already been postponed a couple of times. So it is not certain yet that you can opt for a 'lump sum' as of 1 January 2025. We will keep you updated via this page.

No, that is not possible at the moment, for we must wait until the law has become final. Once the law has become final, we will adapt our systems accordingly. Then you can calculate the amount you can withdraw and what this means for your pension afterwards. You do this on MijnPGBpensioen.

Yes, you can if you let your pension commence on or after 1 January 2025. You will then receive the amount on the date your pension commences. In that case you cannot postpone the payment of your lump sum until the month of January following the year in which your AOW commences. Please note that this may have consequences in terms of tax and any allowances such as rent or healthcare allowance. This is because your income will increase in the year of payment. As a result, you may pay more tax and not be entitled to allowances or have them reduced. A lump sum may also have adverse consequences if you receive income-dependent benefits or come under an income-dependent scheme. Such as social assistance benefits, benefits under the Surviving Dependants Act (Anw) or supplementary state pension benefits.

You can choose to postpone the payment of the lump sum. Then you will receive the amount in the month of January after your AOW commences. This means you pay less tax, because your income in the year after your AOW date comes under a lower tax rate. You only have the choice of postponing payment of the lump sum if you retire at your AOW age. You can find more information on tax rates before and after your AOW pension age on belastingdienst.nl.

In that case, the choice of a lump sum is reversed. This has two consequences:

• The lump sum payment lapses;
• The reduction in your monthly pension benefits due to the fact you opted for a lump sum will also be reversed. As a result, your surviving dependants will receive a supplementary payment for the months for which you received a pension.

Yes, you can. The choice for a lump sum is available upon commencement of all types of retirement pensions. So also in the case of temporary retirement pension. Please note that this may have consequences in terms of tax and any allowances such as rent or healthcare allowance. This is because your income will increase in the year of payment. As a result, you may pay more tax and not be entitled to allowances or have them reduced. A lump sum may also have adverse consequences if you receive income-dependent benefits or come under an income-dependent scheme. Such as social assistance benefits, benefits under the Surviving Dependants Act (Anw) or supplementary state pension benefits.

No. After opting for a lump sum, a pension of at least €592.51 gross per year must remain (amount 2024). On MijnPGBpensioen you can see how much pension you have accrued.

Yes, you can. You can take part-time retirement and opt for a lump sum. You will then receive a maximum of 10% over the part that you retire. Are you going to retire later for a larger part or completely? Then you can opt again for a lump sum for the part that you retire more (than originally).

The choice for a lump sum leads to a lower retirement pension. Depending on your scheme, you can choose to exchange retirement pension for more partner’s pension. If you opt for this, the partner’s pension will be lower if you opt for a lump sum. This is because there is less retirement pension to be exchanged for more partner’s pension.

Yes, it does. Your ex-partner will then receive a lump sum of the divided retirement pension. Your ex-partner will subsequently also receive a lower monthly payment of the divided retirement pension. Bear in mind that a lump sum can also have consequences in terms of tax and any allowances or benefits of your ex-partner.

NOTE: This does not apply if you and your ex-partner have opted for conversion. Then the part of the pension for your ex-partner is converted into an independent pension. Your ex-partner will receive this pension when he or she retires.

That depends on the size of your pension and what percentage of your accrued pension you want to take out. At the moment, it is not yet possible to calculate this on mijnpgbpensioen.nl. We have to wait until the law has become final. Once the law has become final, we will adapt our systems accordingly. Then you can calculate the amount you can withdraw and what this means for your pension afterwards.

If there are any new developments, you will read about them on this page.