The Luxembourg pension system is compulsory for anyone working in Luxembourg and consist of old-age retirement (65 years), early retirement (57 to 65 years), invalidity and survivor's pensions.
Both you and your employer will contribute to the pension scheme which is taxable income.
To claim invalidity pension, your disability must be medically certified (‘invalidity’ is based on a person’s inability to work either at their last job or in any other similar field) and you must have been compulsory insured (as opposed to voluntarily) for at least 12 months during the 3 years
In the case of death, this pension is paid out to:
- your spouse, regardless of gender, provided you are either retired or have been compulsorily insured for at least 12 months during the 3 years
preceedingyour death (unless death occurred as a result of an accident or professional disease); and/or
- your children up to the age of 18 (27 if they are students);
- your divorced spouse, provided they have not remarried