The costs and benefits of solidarity and collectivity in WTP

In the Netherlands, with the introduction of the WTP, many pension plans will be run as SPR or FPR. Within both, there are choices for social partners. In addition, companies can continue to arrange pensions for their employees in the 3rd pillar. An important motivation for social partners to choose a particular type of scheme is the assumed benefits of collectivity and solidarity. Pension funds are currently preparing the implementation of the new schemes. As a result, there is also better insight into the size of the actual benefits in practice. This study aims to analyze the actual size of the benefits and costs of the new schemes.

The central questions are: (1) which elements of collectivity and solidarity do we distinguish in the new pension contracts, and (2) what are the costs and benefits of these elements?

Netspar, Network for Studies on Pensions, Aging and Retirement, is a thinktank and knowledge network. Netspar is dedicated to promoting a wider understanding of the economic and social implications of pensions, aging and retirement in the Netherlands and Europe.

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