What is an AOW gap?
An AOW gap occurs when you have not been insured in the Netherlands for the full 50 years for the AOW. For each year missing, you receive 2% less AOW benefit. This can lead to a significantly lower income, especially if you have lived abroad for a long time.
Reasons for an AOW gap
| Reason | Effect |
|---|---|
| Residence abroad | No AOW insurance |
| Working across the border | Often no AOW accrual |
| Late establishment in the Netherlands | Fewer years of accrual |
| Secondment without coverage | Interruption in accrual |
How do you calculate an AOW gap?
Practical example
Suppose you have lived and worked abroad for 12 years:
- Accrual: 38 years instead of 50
- Reduction: 12 x 2% = 24%
- Benefit: 76% of the full AOW
Reducing an AOW gap
There are ways to limit an AOW gap:
- Voluntary contribution: Continue paying AOW premium during residence abroad
- Retrospective purchase: Pay up to 10 years retrospectively (expensive)
- Extra support: Via the AIO scheme for elderly with low income
Bridging to AOW age
If you stop working earlier than reaching AOW age:
- Early pension: Via your pension fund (with lower benefit)
- RVU scheme: Early retirement via your employer
- Personal resources: Use of savings or home equity
- IOW benefit: For unemployed over 60 after WW ends
AIO support
The AIO (Supplementary Income Provision for the Elderly) helps supplement your income to social assistance level if:
- You are entitled to AOW
- Your income is below the minimum
- Your assets remain below the permitted limit
Can I pay AOW premium from abroad?
Yes, via voluntary insurance with the SVB. This usually needs to be arranged within one year after departure.
Is it worthwhile to purchase AOW years?
This depends on your situation and the costs. The premium can be high, so have a calculation made.
Do I automatically get AIO with a low AOW?
No, you must submit an application yourself to the SVB.
Frequently asked questions about AOW in Leiden
How do I find out if I have an AOW gap?
Check your accrual via MijnSVB.nl or request an overview from the SVB. Each missed year means 2% less benefit. If unclear, an advisor can help.
What does it cost to purchase AOW years?
The costs vary by age and number of years. It can amount to thousands of euros per year. Request a quote from the SVB.
How do I prevent an AOW gap upon emigration?
Arrange voluntary insurance with the SVB within one year after departure. This way your accrual continues.
How do I apply for AIO in Leiden?
Submit an application to the SVB with proof of low income and limited assets. The SVB handles it.
What are the pros and cons of early retirement?
The advantage is stopping work earlier, but the benefit is often lower. Weigh this carefully.
Local information: For legal questions about AOW, you can go to the Juridisch Loket Leiden, Stationsweg 46. For court matters, contact Rechtbank Den Haag, Leiden location.