Wage and Pension Optimization in Belgium

Belgium wage optimization 2023In a labor environment where a war-for-talent prevails, and wage indexation (typical for Belgium) reaches historically high peaks, the quest to find alternatives that benefit both employee and employer is not obvious. Add to this the pension and tax rates on wages, and it is clear one should pay even more attention to wage and pension optimization today. 

Points of interest include the following:

1. There should always be vigilance over pay scales.

2. At the start of the plan, each employee can make individual choices regarding joining.

3. The calculation will always be done in coordination with the social secretariat.

4. The employee can decide which guarantees should be added, such as death coverage or work incapacity.

5. The paid pension contributions always benefit from a statutory minimum net return of 1.75%, which has been taken into account in this financial analysis provided by Van Dessel, Asinta’s employee benefits consulting Partner in Belgium.