Pension

The division of the pension must be treated separately from the division of assets. After all, a pension is not an asset, but deferred salary. Based on the Pension Rights Equalization Act in the event of Divorce, after a divorce you are entitled to half of the old-age pension accrued by the other during the marriage. The old-age pension accrued before the marriage remains outside of this.

Old age pension

Within two years of the divorce, a claim must be made on both sides to a portion of the old-age pension built up by the other during the marriage. This can be done using a special form. The advantage of completing the form is that you will then have a direct claim to payment of your pension portion by the other spouse's pension fund. You will then receive the portion reserved for you monthly, from the date that the other reaches retirement age. If you do not report the divorce to the other's pension provider within two years, the pension provider will not pay you the portion of the old-age pension due to you directly. You will then have to contact the ex-partner himself. In order to avoid problems, reporting within two years is therefore strongly recommended. The form does not have to be signed by both parties. Unilateral reporting is possible.

Survivor's pension/partner's pension

If a survivor's pension/partner's pension is built up during the marriage, the former spouses will retain those claims after the marriage. This is different if the survivor's pension is insured on a risk basis. In that case, the claims will lapse due to the divorce. Of course, you can make different agreements about this together and we can of course advise you specifically.

The condition for the (old age) pension equalisation is that you must claim the other's pension within two years after the divorce. This is only possible with a special form.

If the form does not reach the pension provider in time, your entitlement will remain valid, but the pension provider will not pay you directly. You will then have to contact the ex-spouse himself. In order to prevent problems, reporting within two years after the dissolution of the marriage is therefore strongly recommended.

Make other arrangements

Other agreements can also be made about the old-age pension. For example, you can agree to exclude the Pension Rights Equalisation Act in the event of divorce. In that case, no equalisation will take place and each partner will retain their own pension. Conversion can also be chosen, whereby one partner transfers part of their pension to the other and the other partner continues that pension independently. Conversion is only possible if the pension provider agrees. It amounts to exchanging the survivor's pension for a higher equalisation share in the old-age pension. If you need a survivor's pension, it is therefore not wise to opt for conversion.

If you have built up a pension in your own management in your own BV, it can become complex in the event of a divorce. Questions that arise are:

• What portion has been built up for my spouse?
• Should the portion for my spouse be paid to a recognized insurance company?
• What are the tax consequences?

Current

The current situation is that the pension reserve of the entrepreneur must be calculated taking into account the current commercial value and the fiscal value is not sufficient. It is expected that a new law will be adopted shortly that will relax the position of the DGA and in which the build-up in own management will be abolished. With the permission of the ex-spouse, a more fiscally friendly solution can then be sought. This is a complicated issue for which cooperation with a pension expert is advisable. We can engage a pension expert for you.