Nearly one billion euro saved in life course schemes

Figures published by Statistics Netherlands and the Dutch Association of Insurers show that Dutch employees saved 944 million euro in life course schemes in 2006. The life course scheme was introduced on 1 January 2006. It allows employees to annually put aside money to a maximum of 12 percent of their gross salary to fund unpaid leave. Last year, 220 thousand accounts were opened or insurance policies taken out for the life course scheme. The average amount saved per account or insurance policy amounts to 4,300 euro.

Employees can participate in either the life course scheme or the salary savings scheme, but not in both schemes simultaneously. In 2006, the total amount outstanding was 2.7 billion euro; 1.1 billion euro was deposited last year, 20 percent less than in 2005. The annual amount employees are allowed to put aside under the salary savings scheme is much lower than under the life course scheme. In 2006, for instance, the maximum annual deposit for participants of salary savings schemes was 613 euro. This means that under the salary savings scheme money was deposited in at least 1.8 million accounts.

Job Stufkens

Total amount deposited in company savings accounts, 31 December 2006