The Vitality Savings Scheme (vitaliteitssparen) was to be introduced on 1 January 2013, but has been abandoned by the government. Therefore, the transitional legislation applying to the Life-course Savings Scheme (levensloopregeling) has been amended as follows:
Life-course savings are less than EUR 3,000 on 31 December 2011?
The life-course savings of an employee are released entirely on 1 January 2013. The employer is obliged to withhold wage tax / premiums or more on 80% of the savings accrued on 31 December 2011; the other 20% is tax exempt.
Life-course savings are EUR 3,000 or more on 31 December 2011?
The employee may dispose of his or her entitlements up to 31 December 2021 and may also make additional contributions in accordance with the applicable rules. After that date, the Life-course Savings Scheme will be abolished.
As of 1 January 2013, life-course savings may be withdrawn for any purpose. In addition, the employee may decide to withdraw all the savings in 2013. The employer will then be obliged to withhold wage tax/ premiums on 80% of the savings accrued on 31 December 2011; the other 20% are tax exempt. Furthermore, the build up during 2012 is fully taxable. After utilizing this one-off discount scheme, the employee can no longer participate in the Life-course Savings Scheme.