The occupational pension in the Netherlands is a defined contribution scheme. Within this scheme, the monthly contributions are set and invested to accrue a pension capital.
The pension base salary equals the fixed annual salary (max. €114,866 for 2023) minus the “franchise” which compensates the pension income from social security. The franchise level is €14,802.
For example, for an annual salary level of €75,000, the pension base will be €60,198 (€75,000 - €14,802), of which 15.8% will be charged as pension premium (€9,511 per annum).