BinckBank launches Binck Pension

BinckBank responds to trends in the pension world, where an increasing group of people have been starting to invest in individual retirement schemes. The changing society makes it even more important for employees and self-employed to ensure an adequate old-age provision, and in a timely manner. This (extra) pension can be built up via Binck Pension with a monthly deposit.

Not more than a decade ago, most Dutch employees almost automatically generated a solid pension through their employer. This situation has changed not only due to the increased retirement age and stricter pension rules, but especially due to the flexibility of the labor market and the rapid growth in the number of - usually non-retirement-self-employed entrepreneurs. Topics which are currently high on the political agenda at the forthgoing coalition talks.

"About three quarters of all Dutch people suffer from a pension shortage, but at the same time, they are lacking the effort to spend time and money to change this. With Binck Pension, we help this group on both aspects by offering them a fully automated investment product which is convenient, saves them time and brings their pension to the desired level to maintain the living standard after retirement, "says BinckBank Executive Chairman Vincent Germyns. "Simplicity and ease are important because people consider retirement as something complicated that is far ahead in the future while it really is crucial to begin as early as possible. For this reason we have no barriers and you can start with a low monthly amount, "adds Germyns.

Making a reservation for extra pension is already possible, but often complicated. BinckBank now ensures that investments for retirement can easily and, moreover, be fiscally beneficial. By fully automating the underlying investment approach and using cost-effective index funds, the costs for the customer are kept low and the product easy in use. Part of the product is a lifecycle component which reduces the investment risk automatically as the end date of the pension gets closer.

Fiscal benefits
In addition to a simple opportunity to build up extra pension assets, Binck Pension also provides clear tax benefits, under condition to act within the current tax rules ('annual space' / 'reservation space'). Next to the possibility of an annual tax deduction for deposits via Binck Pension, the assets thus accumulated on a blocked account are exempt from the capital gains tax in Box3. The annuity to be paid after the retirement date will be taxed only after that date.

New strategy of BinckBank
The introduction of a fully automated pension solution fits into BinckBank's new strategy to gear up from an investor bank to a bank for multiple wealth building solutions. Earlier this year, Binck Forward (online automated power generation) was launched, and the introduction of Binck Savings (International Savings Platform) is planned later this year.

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