Common use of Employee’s Contribution Clause in Contracts

Employee’s Contribution. The employee’s contribution is 3.5% of the pension base. The employee’s pension contribution is deducted from the employee’s salary or benefit, if applicable, each month. Besides earlier or later commencement of the old age pension, the scheme also provides options for part-time pension and converting pension benefit entitlements. Conversion of benefit entitlements is only possible with regard to full-time old-age pension. Employees can opt to convert the accrued partner’s pension into a higher old-age pension, or vice versa; within certain limits the old-age pension can be converted into a partner’s pension. This does not apply to the orphan’s pension and the special partner’s pension. Employees can also opt, within tax rule limits, for temporarily higher or temporarily lower pension benefit payments. Once an option has been chosen, it can no longer be reversed after the choice has been implemented.