Premium Payment and AOW Accrual under Voluntary Insurance for Leiden Residents

For residents of Leiden who remain voluntarily insured for AOW while residing abroad, premium payment is based on your income, just like wage tax in the Netherlands. The SVB calculates the amount annually and sends an assessment notice. For 2024, the premium amounts to approximately 20% of your taxable income, with a maximum limit. Failure to pay results in suspension of accrued rights, but catch-up possibilities with a penalty are available. Accrual proceeds via 'insurance years': each paid year counts towards a full AOW entitlement, up to a maximum of 50 years. After emigration post-AOW age, accrual stops, but existing entitlement remains intact. Local tip for Leiden residents: declare foreign income accurately via the SVB form 'Premium AOW voluntary insurance', especially relevant for study or work abroad from the university city of Leiden. In case of divorce or partner's death, special rules apply, such as supplements. Return to Leiden or elsewhere in the Netherlands automatically stops premium payment. Always update your address via the Personal Records Database (BRP) with the municipality of Leiden to avoid disputes with the Tax Authorities and SVB. This ensures carefree pension accrual, even as a Leiden resident with international ambitions.