Pension worth
Generally speaking, money drops in value every year. You can buy less in 2022 than you could in 2021. This is referred to as ‘inflation’. The Heineken Pension Fund tries to index-link the pension you have accrued each year. In other words, the pension you have built up is increased in line with the general increase in prices. We call this an index-linked pension. Unfortunately we are not always able to do that. If we are faced with financial difficulties then it is always possible that the Heineken Pension Fund is unable to index-link pensions either fully or partially. Subsequently, that means your pension drops in value. If finances then start to improve, extra indexation compensation can be granted to regain purchasing power.Indexation compensation can only be granted if the policy funding ratio is at least 110%. If the policy funding ratio is somewhere between this threshold of 110% and the present upper limit of 125%, then only partial compensation for indexation can be granted. If at a given time the policy funding ratio is above or the same as this upper limit, then full compensation for indexation can be granted.Our expectation is that we shall not be able to increase your pension over the next few years. When the fund is again able to grant indexation compensation it will only be partial compensation in the initial years. Full indexation compensation based on the price index can only be granted at a funding ratio that currently stands at approx. 125% or above. However, this upper limit does fluctuate. If the rate of interest increases, then the upper limit for indexation compensation will probably also rise.Over the past three years the Heineken Pension Fund has increased pensions by means of indexation as follows*:
| Indexation | Price increases | |
| 2025 | 3.13% | 3.54% |
| 2024 | – | -0.41% |
| 2023 | 14.33% | 14.33% |
The expected scenario is shown in the middle at the top. This is the pension you could expect to receive in due course on the basis of current figures. At the moment there is a 50% chance that your pension will be lower and a 50% chance that your pension will higher than this amount. The expected sum total is based on the assumption that your pension will be partially increased in line with price increases.
The optimistic scenario (the arrow on the right) shows the amount you are likely to receive in the event of a very positive situation. At present, there is only a slight chance (5% of the prospects) that you will arrive at a higher amount than the one shown on the right. In the optimistic scenario it is assumed that your pension, in conformity with the price increases, will be increased.
The pessimistic scenario (the left arrow) shows the amount you are likely to receive if the situation becomes much worse than expected. Here too, at the moment the chance is only small (5% of the prospects) that you will receive a lower amount than the one shown on the left. The pessimistic scenario is based on a cut back on pensions.
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