Dutch pension provisions are amongst the highest in Europe. At the end of 2006, there was a total of 941 billion euro in pension; nearly 1.8 times the value of the gross domestic product (GDP). It's not however a completely rosy picture. With the growing ageing population, these old age provisions are coming under pressure. The system needs to be modernized and more cost controls are needed if the system needs to remain affordable in the future.
The Dutch pension system is based on three basic pillars:
The mandatory age of retirement in the Netherlands is 65 years of age.
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