Questions NN IP

CDC stands for Collective Defined Contribution. The defined, or fixed, contribution is determined for the collective participants. In a CDC pension plan, annual contributions are fixed, while the resulting pension is not. The risk that your pension may ultimately be too low to meet your needs or expectations is your risk. More information about the CDC pension plan is available on this website.

The employees bear the risks. Contributions may be insufficient and return on investments may be disappointing. This may result in less pension accrual and less indexation, or none at all. Ultimately, your pension may be lower than expected. In the CDC pension plan, this risk has been shifted to you personally. Your pension accrual and the rate of indexation are conditional on NN CDC Pensioenfonds having sufficient financial resources.

As long as you remain employed by NN Group, the pension base that corresponds to your annual salary accrues pension every year. This is what we call an average salary system. Full accrual of your CDC pension will only be possible if the contribution is sufficient to allow this.

The employer and the employees pay for the contribution together. Agreements have been made to this effect in the collective labour agreement.

Your contribution is 6%.

As long as the contributions are sufficient, NN CDC Pensioenfonds will ensure that your pension accrues at 1.875% of the pension base per year.

Pension accrual is conditional. If the annual contribution is insufficient, the pension accrual rate will be adjusted downward.

No, the transfer will not affect you. At the request of NN IP, you will continue to build up a pension through NN CDC Pensioenfonds for a maximum of 15 months. This means the current pension plan will continue to apply for you.

The targeted accrual rate will be raised from 1.5% to 1.875% with effect from 1 October 2022. This is because interest rates are rising. In other words, the pension fund aims to build up your pension at a rate of 1.875% per year. However, the pension fund needs to check every year whether this is possible, given the prevailing interest rates. 

For the period from 1 October until 31 December 2022, it will be possible. With effect from 30 September, the pension fund will check whether it will be able to realise an accrual rate of 1.875% in 2023 as well.

Just like now, you will continue to pay a 6% contribution for your pension accrual. Your employer pays 24%. Together, that makes 30%.

You can get in touch with NN HR Services: hrservices@nnip.com 
Or with NN CDC Pensioenfonds: 088-1162 421 or here.

From late October, the pension fund will inform you personally. Information will also be posted on the website.