You arrange your own pension
Employees often accrue pension through their employer; a freelancer does it personally. The state pension (AOW) forms the base — and rarely sustains a lifestyle on its own. Building your own supplement is the sensible move, and the earlier you start, the harder compounding works for you.
Option 1: the lijfrente (annuity)
The tax-favoured pension form for freelancers. You deposit into a blocked account or insurance product and deduct the contribution from taxable income within your annual allowance. At retirement, the balance pays out periodically. The tax relief makes this the base layer for most self-employed.
Option 2: saving or investing yourself
Full freedom and direct access, inside box 3 with an exemption of €59,357 per person in 2026. Investing offers more long-term growth; saving offers certainty.
Option 3: wealth in your business or real estate
Some entrepreneurs build their retirement inside the business or in property: a company sold later, or a building paying rent. Spread the risk — lean on more than one source.
The tax advantage of the lijfrente
Contributions deduct within your annual allowance: a percentage of income, reduced by other pension accrual. You pay less tax now and settle at payout — usually at a lower rate. Calculate your allowance to capture the full advantage.
How much to set aside
| Approach | Indication |
|---|---|
| Cautious | 5–10% of profit |
| Average | 10–15% of profit |
| Strong | 15–20% of profit |
What fits depends on your age, target pension and starting point. Starting young allows a lower percentage; starting later asks for more.
Start with a small, fixed amount
The biggest win sits in starting early and regularly. Automate a fixed monthly amount, however modest, and raise it as income grows. Last verified: 19 July 2026.
Where this leads
Alongside this belong DGA Pension in 2026 and Building a Financial Buffer as an Entrepreneur.