Brochure Disability pension

Transcription

1 Brochure Disability pension

2 Disability pension Becoming disabled is a thought nobody likes to consider. Even so, it is important and necessary to think about what would happen if you became partially or fully disabled. After all, this has a significant financial impact on you. As a member of SABIC Pension Fund (SPF), you may be entitled to a disability pension. This brochure addresses that possibility and the pension accrual while you are disabled. Unemployment benefit (WIA benefit) If you are sick, your employer pays most of your salary for the first two years. After those two years, the Dutch Employee Insurance Agency (Uitvoeringsinstituut Werknemersverzekeringen, UWV) will assess the degree of your disability. This has been determined in the Dutch Work and Income (Capacity for Work) Act (Wet werk en inkomen naar arbeidsvermogen, WIA). If you are fully disabled, meaning 80% or more, the UWV will grant you a WIA benefit amounting to a maximum of 75% of your last-earnt wage. A maximum has been set in the legislation. The benefit cannot exceed 75% of the maximum wage. Please visit for more information on the WIA (only available in Dutch). Disability pension You will not receive a WIA benefit over that excess pensionable pay if your pensionable pay is higher than the maximum wage and you leave work due to your disability. You will be eligible for a supplement in the form of a disability pension from SPF. The disability pension is 70% of the pensionable pay above 54,614 as of January 1, This also applies to the part of your pensionable pay above 105,075 as of January 1, 2018, more details are given later in this brochure. The disability pension will only be paid out if you are fully disabled (80% or more) upon leaving your employment. Payment of the disability pension stops when one of the following applies: the degree of your disability drops below 80% you pass away you reach the statutory retirement age. You must inform SPF if the degree of your disability drops below 80%. Pension accrual While it is possible that you stop working, the accrual of your pension entitlements with PDN continues based off of your last pensionable pay from the date upon which you leave employment. If the degree of your disability decreases before your retirement date, the accrual of your pension entitlements will be reduced in the years that you potentially do not continue working. That is why you must inform PDN of any changes to the degree of your disability. The table below specifies the percentage of pension accrual that applies to the different Brochure Disability pension, version

3 degrees of disability: Disability pension rates Pension accrual continued for: Pension contributions will still be made, partially or otherwise. The following graduated scale is taken into account, based on the degree of disability. 35% to 45% 40% 45% to 55% 50% Degree of disability: Accrual of pension capital continued for 55% to 65% 60% 65% to 80% 75% 80% to 100% 100% You will stop accruing pension when one of the following applies: your WIA benefit stops and the degree of your disability is below 35%, you reach the statutory retirement age, you retire before the statutory retirement age. Please contact our Pension Desk staff if you have any questions regarding the disability pension or pension accrual while you are disabled. 35% to 45% 40% 45% to 55% 50% 55% to 65% 60% 65% to 80% 75% 80% to 100% 100% The disability pension is not capped to the limit. Good to know The pension scheme ensures partial pension accrual when you are disabled. This also means that even if you start working for another employer, your pension accrual with PDN will remain capped at a maximum based on the degree of disability that applies when you leave employment. If you become sick while working for DSM, it is also possible to start working for another employer. You are still eligible for pension accrual at PDN if after two years of sickness, you become disabled and claim a WIA benefit. Disability and membership of the Net Pension Scheme (NPS) SPF s (NPS) offers the opportunity to pay in pension contributions, net or otherwise, for the part of your pensionable pay over 105,075, the limit as of January 1, The pension capital is comprised of the contributions paid in and is topped up with the return on investments. This pension capital enables you to buy net pension entitlements at a later date. If you are disabled, you do not need to pay in these contributions yourself. This ensures maximal tail coverage. The tail coverage protects you if you leave employment at DSM when you are disabled or during the waiting period before you can claim WIA benefit when you are sick. If you are going to be a member of a new employer's pension scheme, you will accrue pension with the new pension administrator while taking the pension you have accrued with PDN into account. Brochure Disability pension, version

4 Situation with the WIA benefit Period of sickness Disability Until statutory retirement age Disability pension: max. 70% of (70,000 - /- 54,614) (as of 2018) Pensionable Pay 70,000 WIA Benefit max. 75% of 54,614 (as of 2018) Brochure Disability pension, version

5 Changing your address in My SPF pension If you have forwarded your address to your employer so that SPF can send you digital mail, then you will have to provide a new address if you change employer. If you do not provide a new address, SPF will not be able to send notifications about new mail in your digital mailbox in My SPF Pension on SPF's website. Contact If you have any questions about your pension visit the website: or contact our Pension Desk: tel or info.pensioenfondssabic@dsm.com Regulations Click on the icon for more information about the disability pension and the continuation of pension accrual during disability in the pension regulations. Disclaimer The information provided in this brochure by Stichting Pensioenfonds SABIC, based in Sittard (the pension fund) is general, purely indicative and subject to change. It is intended only to provide members with a general view. The information provided is assumed to be reliable, but is used entirely at the user s risk. Neither the administrator (DSM Pension Services B.V.), nor the pension fund accepts any liability for damage arising from errors or omissions in the information, or for damage arising in connection with the use of, reliance on, or distribution of the information. Rights can be derived only from the pension regulations applying to the member. Brochure Disability pension, version