What are the benefits of pension investing?

Four advantages over ordinary saving or investing:

• Deduction. Your contribution is deductible from your taxable income within your jaarruimte and reserveringsruimte.
• No box 3. During the accrual phase your pension capital does not count towards wealth tax.
• Deferred taxation. You only pay tax once the benefit starts, often at a lower rate.
• Return. Over a long horizon, investing generally offers more growth potential than saving.

Against that, your money is locked until your retirement date and the value can fall. Also read the drawbacks of pension investing.