What is the annual margin (jaarruimte)?
The annual margin (jaarruimte) is a Dutch tax term indicating how much tax-deductible pension you can build up. This margin arises when you build up less pension in a year than the fiscal maximum allows.
How is the annual margin calculated?
The calculation is: 13.3% × premium base – 7.5 × factor A – factor B
The premium base is your income from work minus the AOW franchise (€17,545 in 2024).
Help in The Hague
For questions about your annual margin or pension, residents of The Hague can contact the Juridisch Loket The Hague for initial guidance. For detailed financial advice, consult a certified financial advisor in the region.
Conclusion
The annual margin offers an excellent opportunity to build tax-efficient extra pension. Calculate your margin annually to maximize your tax benefits.