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The fate of your assets and retirement income is determined based on where the income is coming from and, in the case of a retirement contract, the conditions of the contract. A completely private retirement insurance is part of your estate and will pay out the remaining money when you die. When it is a governmental retirement income such as a Basisrente or the state pension, it constitutes an earned right and is not part of your estate. As such, the state will not pay out any remainder and use it for the benefit of other retirees.