Pension asset manager APG, which runs the massive Dutch civil service scheme, is launching a new pension fund for freelancers.

Participants will be able to decide how much to contribute and when they would like to retire between 60 and 70. They can also opt for a pension covering 10, 15 and 20 years.

The plan has been backed by four freelancer organisations who say APG’s collective pension will be considerably cheaper than existing plans for private individuals. In particular, the administration costs will be low, they say.

Some 10% of the Dutch working population is now self-employed. However, research shows that few self-employed people contribute to a private pension scheme or have invalidity insurance, partly due to the cost.