What the dream of early retirement costs

And Bye! The dream of early retirement can only be fulfilled with a financial cushion dpa Germans are getting older and older – and yet they don’t want to work any longer. Those who retired in the previous year were on average 64 Years old and stopped working over a year and a half earlier than the state would like. This is shown by current data from the German pension insurance . By raising the standard retirement age to 67 years, the gap is likely to get bigger.

In particular, the coming pension generation does not want to go until shortly before the 70. Birthday work, shows a survey by the Bergische Universität Wuppertal. Just 56 Percent of respondents agree with the statement that they are very likely to work until the official retirement age. 54 percent want out as early as possible the job.

In Germany it is – in contrast to the Netherlands – possible to retire earlier and still draw a state pension. The early retirement, however, has a catch: the earlier employees leave working life, the higher pension deductions they have to accept. Therefore, not everyone can afford to have their legs before the age of 67 Years.

Exception for particularly long-term insured persons For each month of early retirement, the German pension insurance deducts (DRV) 0.3 percent from the pension benefit. Those who retire four years earlier with 63 years , must be lifelong 14, cede 4 percent of his gross pension. The average monthly pension in Germany is 80 Euro. In this case, early retirees only stayed once 1164 euros left. In fact, it is even less: In addition to the deductions, early retirees also lack the contributions they would have paid in the four years up to regular retirement.

There is only one exception to this rule: particularly long-term insured persons. Who at least 63 years (from year of birth 1964 : 65 years) is old and 32 for years, may retire earlier without any deductions. In addition to pure working hours, sickness, child-rearing, military and community service can also be counted. In the year 2018 used 72 Percentage of new pensioners this option, as evidenced by data from the DRV . Total refer to 15 Percentage of DRV members currently receive a pension under this exception.

In the long term, this number is likely to decrease as more and more young people start studying. Students achieve the Bachelor’s degree on average with 23, 5 years, the master’s degree is on average with 26, 1 years from. This has the Federal Statistical Office for the year 2018 collected . Those who do not go to work alongside their studies cannot even reach the working hours that are necessary for early retirement without deductions.

Voluntary special payments If you still want to retire earlier, you can reduce your deductions through voluntary special payments. More and more employees are taking this path: In the year 2012 only paid 933 Insured voluntary additional benefits to the pension insurance, in the year 2017 it was loud Information from DRV already 11. 620. In order to be able to retire without a deduction, insured persons must inform the DRV when they plan to retire. On the basis of this date, the pension fund calculates how high the expected deductions are and how much the insured person has to pay as compensation in the form of special payments.

A Example of the DRV : The expected pension is 1200 euros, but the insured would like to retire three years earlier. To the lifelong deductions in the amount of monthly 10, 8 percent or 130 to offset euros, he would have to 32. 821 Pay in additional euros. The insured must weigh for themselves whether this special payment is worthwhile. However, the special payment does not oblige you to take early retirement. If you change your mind, you can simply work longer and have topped up your normal retirement pension.

Do you already know our Newsletter “The Week” ? Every Friday in your mailbox – if you want. Here you can sign up