What will it mean for your partner and children if they cannot make use of the statutory benefits for surviving dependants? Some surviving dependants will receive a payment under a private insurance policy. But most surviving partners or families will depend on a surviving dependants’ or partner's pension for financial stability. This surviving dependants’ pension may be a partner's pension and/or an orphan's pension:
- Partner's pension: it is customary for a partner to receive 70% of the old-age pension as a partner's pension. When the surviving partner dies, the partner's pension stops.
- Orphan's pension: it is customary for children to receive 14% of the old-age pension up to a certain age. If both parents have died, the benefit may double.
- Temporary partner's pension (surviving dependants' bridging pension): This benefit stops when the partner reaches the state pension age.
Average pay or final pay scheme
In the case of an average pay or final pay scheme, it is based on the old-age pension. For a partner's pension it is customary for a partner to receive 70% of the old-age pension as a partner's pension. And it is paid until the surviving partner dies. The orphan's pension is often 14% of the old-age pension. The orphans receive the benefit up to a certain age. If both parents have died, the benefit may double.
Defined contribution scheme
For the partner’s and orphan’s pensions, a defined contribution scheme is often based on the average pay earned by the employee (average pay). It also takes into account how long an employee has been working for you. And how many more years he or she has to work until retirement.
Surviving dependants' pension for employees
A surviving dependants’ pension can be arranged collectively by the employer. And be sure not to forget your own surviving dependants as a director-major shareholder. We have provided an overview of the pension options for you below.
All pension products that include a surviving dependants’ pension at a glance
- In the i-Pension a surviving dependants’ pension is automatically covered with Average Pay.
- In Zwitserleven Exclusief Pensioen and Zwitserleven Nu Pensioen, our most transparent pension schemes, you pay a premium for the insured risks in the event of death, in addition to the pension contribution.
- Nu PensioenRekening is different from other pension schemes. If an employee dies before his or her retirement, the money invested goes into a pension for their partner and children. In addition, the partner will receive a lump sum as an extra. This will be a multiple of the annual salary. It’s up to the partner to decide what to do with it.
- The Group Term Life Insurance, is not a pension product, but pays a lump sum to the surviving partner upon the participant’s death. This is suitable, for example, when employees have a lower surviving dependants’ pension due to a change of employer.
Need a quote or advice?
As a good employer, you want to choose a pension that is right for your business and for your employees. We have a wide range of options to suit every type of business. Such as an investment-based defined contribution pension scheme, possibly in conjunction with Nettopensioen. A complete overview of our products is available.
If you would like to know more about this or any of our other pension schemes, or would like to get specific advice on a pension scheme for your employees, contact an independent financial adviser. Zwitserleven has an excellent relationship with a large number of professional insurance advisers.