In September 2013 a pension compromise between the Dutch tax authorities and the EPO Pensioners Association was concluded. The compromise dealt with the situation that in the past pension contributions were deducted from the net salary. This situation not only concerns EPO, but also a number of other international organisations, like ESTEC and NATO. The outcome of the compromise is that pensioners who retired before I January 2010 could choose between two methods for balancing the pension contributions: a splitting method and a balance method. The balance method provides a settlement of the non-deducted pension contributions as a one-off benefit.
Employees who retired after 1 January 2010 can until now only benefit from the balance method. Depending on the contributions paid, some retirement years can be exempt for tax, as the pension contributions paid by the employee may still be deducted. As a result, there may be the possibility to retire earlier.
In order to benefit from the balance method it is necessary to take action. If you think you qualify, please contact me as soon as possible.