Dutch Proposal Would Let Retirees Receive Up to €1,200 in Family Help Without Losing AIO Benefits
In the Netherlands, a proposed reform could change how children help their retired parents. The government wants to exempt up to €1,200 a year in groceries, bills and gifts from affecting the AIO income supplement. The measure would also apply to Moroccan families.
When a daughter pays for her parent’s groceries or a son settles a bill, a retiree in the Netherlands may have their income supplement reviewed. The government wants to change this rule for AIO beneficiaries, who receive the benefit from the Sociale Verzekeringsbank (SVB) when their resources fall below the social minimum.
On Bladi.net : Moroccan Retirees in the Netherlands: Their Children Forced to Pay the Bills
Submitted to the Tweede Kamer on 20 October, the SZW 2027 bill would extend an annual €1,200 exemption to expenses paid directly by relatives. Groceries, rent or health insurance could count toward the same limit as cash gifts.
This exemption already applies to gifts. The SVB confirms that it is €1,200 a year, but currently requires recipients to report when someone else regularly pays their bills.
A shared exemption, applied retroactively
The limit would cover all assistance received: €700 in groceries and €500 in gifts would remain within the €1,200 limit. Above that amount, the SVB could assess the excess on a case-by-case basis and decide whether or not to count it as income.
The government proposes applying the measure retroactively from 1 January 2026. It would address a gap: the exemption for expenses paid by relatives already applies to general social assistance, but had not been extended to AIO. Assistance from food banks would be excluded from the calculation.
For some Moroccan retirees living in the Netherlands, the issue is a practical one. After incomplete careers, their AOW pension may be insufficient, and their children sometimes help pay household bills.
AIO remains subject to income, assets and residency requirements in the Netherlands. Both houses of parliament still have to vote on the reform. In the meantime, the SVB requires recipients to report bills regularly paid by a relative. Keeping records of assistance provided in 2026 could make it easier to review if the measure is adopted retroactively.
