Pension and deferred taxation
For a qualifying ordinary pension, contributions and entitlements receive conditional tax treatment and later payments are taxed. AOW, ordinary pension payments and taxable annuity payments generally count in box 1. Net products and cross-border situations have separate rules. Annuity contributions are not unlimited deductions.
Box 1 rates for 2026
For someone below AOW age throughout 2026: 35.75% up to €38,883, 37.56% on the portion above that up to €78,426, and 49.50% above that. Someone who reached AOW age before 2026 and was born on or after 1 January 1946 pays 17.85% in the first bracket; the other rates are unchanged. For birth before 1946, the first threshold is €41,123.
In the year you reach AOW age, an adjusted first-bracket rate depends on the month. The reduction reflects removal of the AOW contribution; not all national-insurance contributions disappear. Tax credits and any Zvw contribution require separate treatment. These bracket rates are not a calculation of your net payment.
Multiple payments and filing
Apply payroll tax credit to no more than one income at a time. You may still owe additional tax because separate payers do not account for your other income. Compare withholding with the calculation on total annual income and consider a provisional assessment if additional tax is due.
Follow a tax-return invitation and its deadline. A return may also be required without an invitation if tax is payable. Having more than one pension payment does not alone determine that obligation; check the complete return calculation.
Assets and decisions
Ordinary savings and investments may fall in box 3. Alongside assumed-return calculations, counter-evidence rules apply where actual returns are lower. Actual returns include value changes; the allowance used for assumed returns does not work in the same way for actual returns.
Compare the whole effect of pension choices: income, taxes, credits, benefits, costs and access to money. A tax advantage does not prove a particular product is suitable. For residence or work abroad, assess the treaty and insurance position separately.
What does BPH do?
Bureau Pensioen Hulp has no AFM licence. BPH provides general education and, on request, can introduce you to an external adviser using contact details only. BPH does not provide personal product recommendations, compare products for you or mediate in arranging them. Check an external adviser’s authorisation, services and fees yourself.
Frequently asked questions
Does using the payroll credit at one payer prevent all additional tax?
No. Total income brackets and income-dependent credits can still produce a difference from withholding.
Do all contributions end at AOW age?
The AOW contribution ends. Other national-insurance contributions and a healthcare contribution can still apply.
Sources and reference date
Reference date: 28 October 2026. Check your own scheme and current conditions before deciding.