The Grand Duchy of Luxembourg is a small country in the heart of Western Europe, bordered by Germany, France, and Belgium. It can easily be called the best country in the world in terms of beauty and standard of living. The country is as old as the calendar, and the first mentions can be found as back as 968 AC!
– Dotted with castles, fortresses, and vestiges of medieval history are dotted everywhere.
Luxembourg city, the country’s capital is a unique fusion between ancient and modern, as well as natural and man-made. A city that has an actual river right at the center of the city; a sight no other city in the world can offer. Old stone buildings, pubs, and medieval taverns, standing shoulder to shoulder with modern shopping malls, look as if a film director has laid out the set for his latest sci-fi movie.
Pension and retirement options
The Grand Duchy of Luxembourg is one of the most desirable among pensioners and retirees. Whether you are an expatriate working in Luxembourg or a native, claiming for pension in both scenarios is possible. The official retiring age according to the country’s laws is 65; in some cases, early retirement is also a possibility, if certain conditions are met.
A person who has reached the age of 65 and has contributed to the old-age pension fund for at least 10 years (120 months) is eligible to claim a pension. Generally, every person who works in Luxembourg pays nearly 8% of his gross income to the national pension fund each month; whatever amount that percentage is, the employer too contributes the same amount to the fund on behalf of the employee.
Transferring international pension
If in case you don’t happen to be covered by Luxembourg’s pension scheme, you have the option to transfer your pension from your home country to Luxembourg; An offshore pension scheme can be useful in this scenario. It may take some time while the authorities process and set up in link between your home country and itself, however, applying for initiation is the first step.
The pension system in Luxembourg
There are various types of pensions in Luxembourg; each catering to its unique cadre of society. To begin with, the public tier state pension is specifically designed for people who have worked for the stipulated number of years in a state institute. The other type is Occupational Pension, aimed at those who served in a private entity and contributed to the pension fund for at least 10 years and more; it is important that the employers too added their share of the pension on behalf of the employees to the same fund.
Lastly, the personal retirement tier. These are self-employed or freelancers who prudently contributed to the state pension fund; upon their reaching the official age of retirement, they are illegible to claim their pension.
Early retirement
You may be eligible to benefit from early retirement in Luxembourg if:
- From the time you turned 57, you can prove 480 months of contribution to compulsory insurance
- From the time you turned 60, you have contributed 480 months’ worth of contributions in compulsory, continued, or optional insurance combined, out of which the contribution to compulsory insurance is worth 120 months.
Reasons to spend golden years in Luxembourg
Among a myriad of reasons why one should choose Luxembourg as their golden years’ retreat, we have chosen a few that merit the most.
Location
Luxembourg is centrally located in the heart of Western Europe; it allows access to every major city in the region. Luxembourg’s lone airport operates flights to every destination every single day, and to some places even up to 9 times a day! The central location makes Luxembourg an economic and cultural hub, and in turn, opens up amazing opportunities for everyone.
Castles
Luxembourg’s roots go deep in history, as back as 963 AD. This fact is evident in the architectural masterpieces scattered all across the country. Medieval castles, ancient tunnels, rusty taverns, and princely courtyards add to the mystery of the country.
Cultural experience
Out of the total population of nearly 600000 people, 47% is constituted of foreigners. This makes the country home to many European cultures, especially Portuguese who have a 16% contribution to the total population. The amalgamation and re-representations of mixed cultural events and rituals are beyond anything, anywhere. The colors, folk music, attire, poetry, war songs, and the overall feel is larger than life!
Ease of communication
The majority of the population in Luxembourg is multilingual, and can fluently conversate in English, German, and Luxembourgish. Each Luxembourg citizen is taught 4 languages at school, so asking for directions, a place to eat, or just having a pleasant conversation with anyone with the confidence that you will be fully understood.
Food
The ancient Luxembourgish culture revolves around two things; eating & drinking. Once you overcome the difficulty to pronounce the dishes, you immediately fall in love with the food.
Gromperekichelcher (crispy potato fritters), Rieslingspaschtéit (meat and wine pie), and Judd mat Gaardebounen(made of pork and broad beans is the country’s national dish) are some of the dishes worth traveling for.
Above all, Luxembourg though small in size stands among the most powerful nations in Europe. Headquarters of the European Court of Justice, the European Court of Auditors, the Secretariat of the European Parliament, and many other powerful institutes are housed in Luxembourg. It is a mix of nations in one place!
