Dutch pensioners abroad will lose allowance

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In 2012, 280,000 Dutch pensioners living abroad will stop getting extra allowances designed to offset a reduction in purchasing power.

The present across-the-board payment was scheduled to be replaced this year by a new system under which only pensioners paying Dutch tax would receive the allowances. This would have saved the government 105 million euros.

However, Social Affairs Minister Henk Kamp has not been able to steer the measure through the Upper House in time. This means Dutch pensioners abroad will continue to receive the extra money this year.

In an attempt to get the measure through the Upper House, Mr Kamp has undertaken to exempt about 15,000 pensioners, most of whom live in Germany, from the new rules. They are said to pay enough Dutch tax to warrant their receiving the extra money.


© Radio Netherlands Worldwide

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