Tuesday, 13.09.16 , written by Anja Schlicht The pension increase in 2016 is at a record level of almost six per cent more than in the previous year. Retirees, however, should not get used to the significant pension increase. Because according to the annuity insurance report 2015, the adjustments by 2019 will only be in the two to three percent range. >
Update October 26, 2016: For 2017, the values are now taking shape. According to the Nordwest-Zeitung, quoted from the budget of the German Pension Insurance Association, there will be a pension increase of 2.3 percent (old states) or around 2.6 percent (new states) for retirees next year.
Update 10 November 2016: According to forecasts by the German Pension Fund, the pension increase in 2017 is lower than previously estimated.
As of July 1, 2016, there was the “biggest pension adjustment since the turn of the century,” according to the German Pension Insurance Association. The 2016 pension increase was more than four percent in the west and almost six percent in the east. However, as these huge increases are mainly due to a static one-off effect, retirees are more likely to expect moderate pension increases in the following years. This is also shown by the Pension Insurance Report 2015. According to this, between 2017 and 2019, there are likely to be only gains of between two and three percent:
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Pension contribution forecast: 2029 over 21 percent
The Pension Insurance Report 2015 also provides an estimate of the development of the contribution to the statutory pension scheme. Thus, nothing changes for employers and employees until 2020, the contribution rate remains stable at 18.7 percent . After that, however, gradual adjustments can be expected.
By 2023, the pension contribution is over 20 percent, 2029 is assumed to be 21.5 percent . Since the contribution is equally divided between employer and employee, this corresponds to a share of 10.75 percent (previously 9.35 percent) for compulsory insured persons.
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