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BackPensions could rise by 4.1 percent in 2027
Pensions could rise by 4.1 percent in 2027
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Tagesschau Inland53 minutes agoBusiness1 min readGermanyView original

Pensions could rise by 4.1 percent in 2027

The contribution rate for pension insurance is expected to remain at 18.6 percent

Quick Look

  • According to a draft pension insurance report, the federal government estimates that pensions will rise by 4.1 percent next year.
  • With a pension of 1,000 euros, that would be 41 euros more per month.
  • The contribution rate should remain stable at 18.6 percent.

AI-generated summary

Why It Matters

The pension insurance report contains a preliminary estimate from the federal government. The exact data will not be available until March. The basis for the calculation are assumptions about the wage development of employees, which have fallen slightly compared to the summer.

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Pensions will probably rise significantly again next year. In the draft pension insurance report, which is available to the ARD capital studio, the government estimates that pensions can be increased by 4.1 percent. With a pension of 1,000 euros, that would mean 41 euros more per month.

Last year the increase was 4.2 percent. The FAZ first reported. This is a preliminary estimate and the exact data will not be available until March.

Contribution rate should remain stable

The calculation is based on the most recent assumptions about how employee wages will develop. These assumptions have decreased slightly compared to summer.

According to current law, the contribution rate for pension insurance should remain stable at 18.6 percent of gross income in the coming year. After that, however, it is expected to increase and reach 20 percent in 2030.

Open Questions

  • When exactly will the pension increase be officially decided?
  • How much will the actual pension increase be in March?
  • When should the contribution rate increase further after 2030?

Related Topics

This article was originally published by Tagesschau Inland.

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