Low earners will still be able to retire early without loss of income

People earning no more than 150% of the minimum wage will still be able to retire early without this having much effect on their retirement income, social affairs minister Henk Kamp said in a briefing to MPs on Tuesday.


The minister said he had opted for a wage-related policy because it was impossible to define ‘heavy work’.
MPs are keen to ensure people doing jobs which are physically or mentally taxing will not be penalised if they continue to retire at 65 when the state pension age is increased to 67.
From 2025, people on low wages who opt to retire early will not lose more than 3% of their retirement income, the minister said. Others who decide to stop work at 65 will lose 13%. The minimum wage is currently € 1,435.20 for an adult.
The PvdA (Labour party) had made an opt out for people doing heavy jobs conditional for its support for the pension reforms. The government needs PvdA support because its alliance partner, the anti-Islam PVV, opposes an increase in the pension age.

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