Everyone in the Netherlands is entitled to payroll tax deduction. This is a reduction in the tax you have to pay. You can only use the payroll tax deduction once per year. If, for example, you receive both AOW and a pension from Pensioenfonds Witteveen+Bos, you can choose whether to apply the deduction to the AOW or to your pension.

By default, payroll tax deduction is applied by the Sociale Verzekeringsbank (SVB) to your AOW. Usually, applying payroll tax deduction to the highest source of income is best. You can read more about this on the Belastingdienst’s website.

How to change your payroll tax deduction

If you want us to apply payroll tax deduction to your pension, let us know.

Please inform SVB, too, that they should no longer apply payroll tax deduction to your AOW (if you receive it). You can only apply payroll tax deduction to one source of income.

If you receive AOW, SVB already applies payroll tax deduction to your AOW payments. If your pension is higher than your AOW, it is advisable to instead have the deduction applied to your pension. This is also the case if you are still working (part-time) and your pension is higher than your salary.

If your annual total income (AOW, pension, and any other income) is more than € 24,812 gross (in 2024), then you have to pay more tax than the amount we deduct from your pension. If this is the case, you will receive an additional tax assessment from the Tax Administration (de Belastingdienst).

Inform us as soon as possible about a separation. We will then ensure that your pension is divided according to the agreements.

More information on dividing your pension following separation is available on the government web page below (in Dutch). The page also contains the form you can use to inform us about your agreements.

Hoe wordt het pensioen verdeeld na een scheiding? | Rijksoverheid.nl