Working as a recipient of an old-age pension
Last update
Summary:
Are you retired and want to continue working? You can combine an old-age pension with income from a professional activity, subject to certain conditions.
As a retiree, you can combine an old-age pension with income from a professional activity, whether you work part-time or full-time.
However, there are significant restrictions on combining an early old-age pension with income from a professional activity if the income from said activity exceeds a certain threshold.
Who is concerned?
You are eligible if you:
- are retired; and
- are affiliated to the general pension insurance scheme; and
- will receive, depending on your insurance history and your age:
- an old-age pension (from the age of 65); or
- an early old-age pension (between 57 and 65); and
- you want to pursue a professional activity at the same time.
How to proceed
Mandatory declarations
You must inform the National Pension Insurance Fund (Caisse nationale d'assurance pension - CNAP) of the following:
- any change in your professional situation, including resumption or continuation of a professional activity; and
- any other benefit that may reduce your pension.
Accumulation conditions for retirees affiliated to the general pension insurance scheme
Normal old-age pension (from the age of 65)
If you are over the age of 65, you are free to work without any restrictions on the amount of income or the number of hours worked.
Early old-age pension (between the ages of 57 and 65)
If you are aged between 57 and 65 and receive an early old-age pension, you can combine this pension with a paid professional activity, provided that the job in question is considered insignificant or occasional.
Annual income from this activity may not exceed one third of the social minimum wage.
Impact on the early old-age pension
- If your annual income is less than one third of the social minimum wage: your early old-age pension does not change;
- if your annual income exceeds one third of the social minimum wage, but remains below the average of the 5 highest annual incomes subject to contributions in your insurance history: your early old-age pension will be reduced if the sum of your income and pension exceeds this ceiling;
- if your annual income exceeds the average of the 5 highest annual incomes subject to contributions: your early old-age pension may be suspended or withdrawn.
Taxation
Additional income is taxable.
If your professional activity is carried out in Luxembourg, the income is subject to:
- the deduction of contributions to pension insurance, health insurance and long-term care insurance;
- withholding tax.
Questions relating to income tax should be addressed to the Luxembourg Inland Revenue (Administration des contributions directes).
Reimbursement of contributions
If you are a recipient of an old-age pension (from the age of 65), the pension insurance contributions paid as a result of working in Luxembourg are reimbursed.
Who to contact
National Pension Insurance Fund
-
National Pension Insurance Fund
- Address:
-
1A, boulevard Prince Henri
L-1724
Luxembourg
Luxembourg
L-2096 Luxembourg
- Phone:
- (+352) 22 41 41-1
- Phone:
-
(+352)224141-6500
Hotline
- Website:
- http://www.cnap.lu
Closed ⋅ Opens Monday at 8.00
- Sunday:
- Closed
- Monday:
- 8.00 to 12.00, 13.00 to 16.00
- Tuesday:
- 8.00 to 12.00, 13.00 to 16.00
- Wednesday:
- 8.00 to 12.00, 13.00 to 16.00
- Thursday:
- 8.00 to 12.00, 13.00 to 16.00
- Friday:
- 8.00 to 12.00, 13.00 to 16.00
- Saturday:
- Closed
Public counters are open by appointment only.
Telephone reception from 8.00 to 12.00 and from 13.00 to 16.00
Contact form: http://www.cnap.lu/accueil-mail/
Related procedures and links
Procedures
Links
Further information
sur le site de la Caisse nationale d’assurance pension (CNAP)
Legal references
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