Conversion of Pension Rights in Rijswijk
Conversion of pension rights allows residents of Rijswijk, in the event of divorce, to convert their ex-partner's pension into their own independent pension benefit. This way, you are no longer dependent on your former partner and gain greater financial security. This option builds on pension division upon divorce and is regulated by the Act on the Equalisation of Pension Rights upon Divorce (Pension Equalisation Act, Wet VPS). For advice, contact Het Juridisch Loket Rijswijk.
What does conversion of pension rights mean for residents of Rijswijk?
Conversion means 'conversion': your claim on your ex's pension becomes a direct, independent right with the pension provider. Instead of a benefit via your ex (as in equalisation), you build up your own independent pension. This is ideal for avoiding risks, such as if your ex stops working early, remarries, or passes away. For many residents of Rijswijk, this is a smart choice in long-term marriages.
The scheme applies to old-age pensions from the second pillar (employer pensions) and sometimes survivor pensions. It is optional and requires a clear application. Without conversion, the standard pension equalisation applies, dividing pensions equally up to state pension age.
Legal basis
The foundation is the Act on the Equalisation of Pension Rights upon Divorce (Pension Equalisation Act, Wet VPS). Key provisions:
- Article 1 Wet VPS: Pension equalisation as the default.
- Article 5 Wet VPS: Enables conversion; both the participant and co-participant may convert (part of) the equalisation share.
- Article 5a Wet VPS: Conversion at least 50% of the share, unless otherwise agreed.
Article 119 of Book 1 of the Dutch Civil Code regulates settlement upon divorce. Pension funds such as ABP or PFZW must execute conversion following a ruling from the District Court of Rijswijk or a notary.
Conversion in practice for Rijswijk
The step-by-step process:
- Reach agreement: Record arrangements in the divorce settlement or via the District Court of Rijswijk, at the latest before the pension date.
- Submit application: Send notification of equalisation and conversion request to the pension administrator, via notary or family judge at the District Court of Rijswijk.
- Convert: The administrator calculates the actuarial value and creates a separate policy for you.
- Payment: You receive a lifelong, index-linked benefit from retirement.
Example from Rijswijk: Jan and Marie, divorced in Rijswijk after 20 years of marriage, have built up €50,000 and €0 respectively at ABP. Under equalisation, Marie receives €25,000 per year from Jan's pension. With 100% conversion, Marie gets her own ABP pension of €25,000. Even if Jan passes away early, it remains intact.
Comparison: conversion versus equalisation
Conversion provides stronger guarantees. Overview:
| Aspect | Equalisation | Conversion |
|---|---|---|
| Dependency | Via ex-partner | Own benefit |
| Indexation | Follows ex | Follows original |
| Ex's death | Often lapses | Continues |
| Minimum % | 50% standard | 50% min., up to 100% |
| Costs | Low | Higher due to conversion |
Rights and obligations for conversion in Rijswijk
Rights:
- Lifelong own pension with indexation.
- Protected against ex-partner's choices (e.g., early retirement).
- Value-secure pension.
Obligations:
- Submit within 2 months after divorce (notification).
- Pay or share costs.
- Provide data to administrator.
If the administrator refuses? Involve the District Court of Rijswijk.
Frequently asked questions for Rijswijk
Can conversion take place after retirement in Rijswijk?
No, only before the pension date. After that, only periodic payments.
Ex-partner not cooperating in Rijswijk?
Apply to the District Court of Rijswijk for unilateral conversion with compelling interest (art. 5(3) Wet VPS).
Does it apply to survivor pensions?
Yes, survivor pension can be converted to own old-age pension; partner pension often separate.
Notarial deed required?
Yes, or a court order from the District Court of Rijswijk for validity.
Tips for residents of Rijswijk
For a smooth conversion:
- Seek advice: Contact Het Juridisch Loket Rijswijk or a family law attorney at the District Court of Rijswijk. Also see pension upon divorce for basics.
- Check your divorce documents at the Municipality of Rijswijk.
- Start early to avoid delays.