What options are desirable from the participant’s perspective?

This paper examines the desirability or undesirability of new options for participants in the Dutch pension system, with a special focus on the so-called second pillar, or occupational pensions. We start by presenting a brief overview of the developments in terms of customization and options in pensions. We then move on to discussing the various options in order of the life cycle sequence: first, the choices regarding contributions, then those related to investment decisions, and finally the choices related to retirement and payout patterns. In each case, we start with a survey of the existing options under current regulations and the degree to which these are already used. This survey of options includes an examination of the major behavioral factors influencing the choices being made. Moreover, for some of the options, we explore how much participants might take advantage of them in theory and what advantages or disadvantages that might have for their own welfare. Both the costs and benefits of the options are thus analyzed.

This paper is also available in English

 

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.

MORE ABOUT NETSPAR


Mission en strategy           •           Network           •           Organisation           •          Magazine
Netspar Brief            •            Actionplan 2019-2023           •           Researchagenda

ABOUT NETSPAR

Our partners

B20160708_tilburg university
B20190901_nidi-logo_greyscale
B20160708_dnb
Print
B20190823_mn-logo_small
View all partners