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Withdrawal of pension capital at once: postponement again?

May 01, 2024

Do you remember? A few years ago, a proposal was made to give people the option to withdraw a maximum of 10% of their pension capital at once.

The bill establishing this possibility has already been postponed several times. Firstly, sometimes the time was too short to arrange the implementation on time. Pension funds and insurers must inform people at least six months in advance, so that they have sufficient time to be properly informed about the consequences of their choice. Secondly, because people must be well informed about the possible consequences.
A one-off payment is gross income and so you have to pay tax on it. However, the consequences can also go further. If you have an income-related allowance, such as rent or healthcare allowance, you can (partially) lose this because you have extra income from pension in any year.
The last time the introduction date was postponed to January 1, 2025. The discussion in the House of Representatives is provisionally scheduled for the week of May 28. After that, consideration must still take place in the Senate, all before July 1. In theory it is possible, but there is a greater chance that another postponement will follow.

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