AOW age stays at 67 years and 3 months in 2032
The AOW (state pension) age will stay at 67 years and 3 months in 2032, Minister Hans Vijlbrief of Social Affairs and Employment told the Tweede Kamer (House of Representatives).
Driving the news: The AOW age follows the life expectancy of 65-year-olds, as forecast by Statistics Netherlands (CBS). The CBS says life expectancy is still rising, but more slowly than before.
By the numbers:
- CBS forecasts that people turning 65 in 2032 will live another 21.08 years on average. Last year's forecast was 21.14 years.
- Up to and including 2027, the AOW age is 67 years.
- From 2028, it is 67 years and 3 months.
- The existing link raises the AOW age by eight months for every extra year of life expectancy.
Context:
- Life expectancy for 65-year-olds fell to about 19.5 years in 2020 and 2021 during the coronavirus pandemic. It rose to 19.7 years in 2022.
- CBS expects life expectancy to keep rising in the long term, but more slowly than thought. It also stressed that the model contains uncertainties.
- In February, the Jetten cabinet wanted a full one-to-one link between the AOW age and life expectancy from 2033. The plan met resistance in the Tweede Kamer and from trade unions.
- On Prinsjesdag (the day the budget is presented), the cabinet dropped that proposal from the budget.
Who is affected: The government said people born between 1 October 1964 and 30 September 1965 now know when they will get AOW. One source says those born on 1 October 1964 receive it from 1 January 2032. It says those born on 30 September 1965 receive it from the end of December 2032.
What is next: Vijlbrief still has to formally set the AOW age for 2032. The law requires this to be done five years ahead.