Depending on your insurance periods and your age, you can apply for:

• old-age pension, from the age of 65; or
• early old-age pension from the age of 57 or 60.

Old-age pension is calculated based on the recognised years of pension insurance contributions, and the contributions paid into the pension insurance fund.

These 2 items of data, together, form the individual's insurance history.

Who is concerned

You are covered by the general pension insurance scheme if you:

• engage in a professional activity in Luxembourg, be it as an employee or on a self-employed basis; or
• receive some form of replacement income: sickness benefits, maternity benefits, compensation for an occupational accident or unemployment benefits.

Old-age pension is payable from the age of 65 onwards.

Prerequisites

Entitlement to old-age pension is subject to:

• an age requirement of 65; and
• a condition of recognised years of insurance: the insurance period.

The insurance period comprises the following periods which, in each case, must amount to at least 10 years:

• periods of compulsory, continued or optional insurance; and/or
  
• insurance periods purchased retroactively.

These periods may be supplemented by additional periods.

Further details on insurance periods can be found on the website of the CNAP – Carrière d’assurance et périodes au Luxembourg (insurance history and periods in Luxembourg).

Deadlines

The award of a pension is not automatic, even if you meet all the conditions. It is compulsory to apply for a pension.

If you have:

• only ever worked in Luxembourg: you can submit your application between 2 and 6 months before the start date of your pension;
• been part of multiple pension schemes in Luxembourg over the course of your career: you can submit your application 6 months before the start date of your pension;
• worked both in Luxembourg and in one or more foreign countries: it is advisable to submit your application at least 6 months before the planned pension start date.

How to proceed

Filing the application in the country of residence

Residence in Luxembourg

If you live in Luxembourg, you must send your application to the National Pension Insurance Fund (Caisse nationale d'assurance pension - CNAP) together with all the required documents (certificate or diploma of study, foreign career record, etc.).

If you were affiliated to the general scheme (private sector - CNAP) and to the special scheme (state/communal sector) in Luxembourg during your professional career, you must submit your claim to the body of the scheme to which you were last affiliated.

If you have worked both in Luxembourg and in one or more foreign countries, the CNAP will submit the pension applications to the competent pension bodies abroad.

Residence abroad

If you do not reside in Luxembourg, you must submit your application to the competent body in your country of residence. The foreign pension fund must then apply to the CNAP on the insured's behalf so that the insured can exercise their Luxembourg pension rights. The vast majority of Luxembourg's cross-border workers are in this situation.

Application processing time

The time taken to process a pension application will depend on the availability and the soundness of the required data. It may range from:

• a few weeks; to
• several months, if information needs to be obtained from abroad.

When the review is completed, the pension is either approved or rejected in a decision which may be appealed.

Pension start date

Your old-age pension starts on your 65^th birthday or from the day on which you meet the requirements regarding age and insurance periods.

Amount of pension

Composition

The old-age pension comprises:

• a component relating to the length of contribution, i.e. flat-rate allowances; and
• a component relating to the contributions paid, i.e. proportional allowances.

The calculation also includes adjustments for:

• the cost of living; and
• wage developments on the labour market.

'Length of contribution' component: flat-rate allowances

Flat-rate allowances are awarded based on the length of contribution.

In order to calculate this period, up to a maximum of 40 years are taken into account:

• periods of compulsory, continued or optional insurance; and/or
• insurance periods purchased retroactively; and
• additional periods.

'Contributions paid' component: proportional allowances

Proportional allowances are awarded based on the contributions paid over the insured's insurance history.

The calculation formulae and examples can be found on the CNAP website: Calcul du montant de la pension (calculation of the pension amount).

Employment/self-employment

As a recipient of an old-age pension, you may engage in gainful employment without your pension being reduced or withdrawn.

Minimum and maximum amounts

Under no circumstances may an old-age pension be less than 90 % of the reference amount if the insured has completed 40 years of insurance contributions. This sum is decreased by one 40^th per missing year between the 20^th and 39^th year.

To be entitled to the minimum pension, you must have at least 20 years of insurance periods, including 10 years of compulsory insurance, continued insurance, voluntary insurance or retroactively purchased periods.

The maximum amount is 5/6^ths of the quintuple of the reference amount.

Payment of pension

Pension payments:

• are made monthly and in advance; and
• cease being paid at the end of the month in which you die.

The payment schedule for pensions can be viewed on the CNAP website.

Forms / Online services

Who to contact