Pensioen

“Pensioen” is a Dutch term that translates to “pension” in English. It refers to a retirement plan or fund that provides financial support to individuals after they have ceased working, typically due to age. A pensioen may be composed of various components, including contributions made by the employer, employee, or both during the employee’s working life. Upon retirement, the accumulated funds are disbursed to the individual, usually in the form of regular payments, to help sustain their standard of living. Pensioenen can be structured in different ways, including defined benefit plans, which guarantee a specific payout upon retirement, and defined contribution plans, where the payout amount depends on the contributions made and investment performance. The concept of pensioen is significant in providing financial security for individuals in their later years.