How is the tax deducted from the pension?

As an employee, the tax is deducted directly from your gross salary every month, which is paid by your employer. The tax on your pension, on the other hand, only has to be paid once a year. The tax office determines the amount of tax based on the information you provide and sends you a tax assessment in which the tax is determined.
However, you only have to pay tax on your pension payments if they exceed the basic tax-free amount of 10,347 euros (2022). But even the rest of the pension payments above the tax-free amount will only be taxed at 82 percent when you retire in 2022.

Our experts are familiar with the tax-implications of most investments available and can also inform you about other tax-deductibles that you could take advantage of.

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