The Belgian pension system will undergo some major changes at the start of next year. From the statutory retirement age rising to stricter access to the minimum pension, find the new measures and how this impacts Belgian residents below.
Several changes related to people's pensions in Belgium will come into force on 1 January 2025. Some of these were decided on a decade ago, while others were passed earlier this year by the outgoing 'Vivaldi' government led by Alexander De Croo (Open VLD). Many of the changes depend on when a person was born and how long they have worked.
Increased statutory retirement age
From 2025, the statutory retirement age (the earliest age at which people in Belgium are allowed to retire) will rise from 65 to 66. To determine a person's legal retirement age, their date of birth is key:
- For those born before 1 January 1960, the retirement age is 65;
- For those born between 1 January 1960 and 31 December 1963, the age is 66;
- For those born in 1964 or later, the age will be increased to 67 (from 2030).
This means that all workers who were born on or after 1 January 1960 will have to work an extra year before retiring. Those who turn 65 before New Year's Eve will remain under the old system, whether or not they retire.
For people in occupations benefiting from a special scheme, such as the military or national railway company SNCB, for example, the statutory retirement age will not increase in 2025.
Credit: Belga / Maxime Anciaux
The measure was decided by the former 'Swedish' Federal Government led by Charles Michel (MR). It is therefore not a sudden change: the online pension portal has already taken the schedule change into account.
However, people can still retire early. The conditions remain unchanged and depend on how many years people have worked. Since 1 February 2019, people can retire early:
- At the age of 60 if they have worked for 44 years;
- At the age of 61 or 62 if they have worked for 43 years;
- At the age of 63, 64 or 65 if they have worked for 42 years.
The calculation of 'working' years also takes into account periods when people were sick or unemployed.
Stricter rules for minimum pension
Another major change coming into effect in the new year concerns the conditions for entitlement to the guaranteed minimum pension. Of the around 2.3 million Belgian pensioners, just over 905,000 (or almost 40%) receive such a pension. Single people receive €21,280.16 a year or €1,773.35 a month, while the 'household' rate for people with a family is €26,591.83 a year or €2,215.99 a month.
The new measure imposes an additional condition of eligibility for the minimum pension. To qualify for the minimum pension, people will not only have to prove they had a career of 30 years (the current condition), but they will also have to prove a minimum of 64 quarters of effective employment.
This means people are eligible for the minimum pension if they:
- Have worked 5,000 full-time days as an employee;
- Have worked 5,000 full-time days in a mixed career (employee, self-employed, civil servant);
- Have worked 189 months if they only have a career as a civil servant, be at least 60 years old and have completed 20 years of service as a statutory employee;
- Have worked 64 quarters if they had a career as a self-employed person.
For a part-time minimum pension, people must have worked 3,120 full-time days. While some periods of inactivity are counted as work (time off work, temporary unemployment, time off to care for a relative), long-term unemployment, time credit without reason and a career break without reason are not included in this calculation. The following people are eligible:
- People born before 1963 only have to prove a career of 30 years;
- People born between 1 January 1963 and 31 December 1968
- who already have 30 career years on 1 January 2025 only need to prove the term of this career
- who do not have 30 career years on 1 January 2025 will see the required number of years of effective employment systematically increase according to their year of birth.
Pension bonus
Finally, 2025 will see the return of the pension bonus, which had previously been dropped by the Charles Michel government (2014-2018). The main purpose of this bonus is to encourage people who want to retire early to continue working. This bonus not only applies to employees; self-employed people and civil servants can also claim it.
Under the scheme, anyone working beyond the legal age of retirement will benefit from a bonus that increases progressively over three years. The pension bonus is an extra amount which they will receive on top of their regular pension and is exempt from social security contributions and taxes. From 1 January 2025, when the system will take effect, anyone who works extra will receive the pension bonus.
People can accrue the bonus for up to a maximum of three years after their retirement date. The bonus amount depends on the number of career years workers have at the earliest retirement date and increases for every extra day that is worked:
- People who have worked for 43 years or more on their earliest retirement date and continue to work full-time will accrue €35,347.59 (€11,782.53 every year for three years);
- People who have worked for fewer than 43 years on their earliest retirement date and continue to work full-time will accrue €23,565.06 (€3,927.51 in the first year, €7,855.02 in the second and €11,782.53 in the third).
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This tax-free sum will be paid in one instalment (equivalent to receiving monthly payouts for 20 years) several months after they stop their additional working period. People can also stagger the payout to get a monthly bonus.
However, the sum of a person's pension(s), both statutory and supplementary, and the pension bonus may not exceed €8,129.08 gross per month or €97,548.92 gross per year. If this amount is exceeded, the pension bonus will be limited.
If one of these measures affects your pension, the estimate of this pension will be adjusted automatically on Belgium's pension platform.
