The Belgian government approved a pension reform yesterday, 4 April, which includes several measures, such as introducing a new pension bonus for those who work past their earliest retirement age.

Summarising the changes, the Service Federal des Pensions (Federal Pension Service) said the pension bonus applies to employees, the self-employed and civil servants who continue working beyond retirement age. The new bonus will come into effect from 1 July 2024, and a pension can start on 1 January 2025, at the earliest, to be entitled to the bonus. Anyone already retired is not entitled to the new bonus, but those who receive the old bonus will continue to receive it.

A bonus can be built up for a maximum of three years and it is set up when the retirement pension is taken. The amount people receive depends on their number of years of service at their earliest retirement date and the length of employment after that date. It is paid, by default, by lump sum but people can choose to receive it in monthly instalments.

The government also approved new measures relating to the pension minimum guarantee. From 1 January 2025, in order to qualify for the minimum pension, it will be necessary to have, as before, a career of 30 years (periods worked and assimilated combined) but 20 years of actual work (5,000 full-time days or 3,120 part-time days) as an employee or 189 months as a civil servant (additional condition).

However, the reform does not affect people who are already pensioners, those who will take their retirement pension before 1 January 2025, or those born before 1963. It also does not apply to those born between 1963 and 1969 who have a career of 30 years before 1 January 2025.

Furthermore, the government approved a measure that means from 1 January 2025, the equalisation of civil servants' pensions will be limited annually to 0.3 per cent of the total pension burden.

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