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Courts and 2026 Policy Shifts Recast Pensions, Bürgergeld and Housing Support in Germany

The result is a tighter, more standardized system that still produces hard‑case exceptions.

Overview

  • Germany’s federal social court confirmed that improved calculation rules for disability pensions apply only to new cases from 2019, leaving about two million existing beneficiaries with up to roughly €185 less per month (BSG case B 5 R 29/21 R).
  • The regional social court in Niedersachsen‑Bremen ordered Jobcenter Bremen to give a final cost assurance and cover higher rent for a larger, barrier‑free flat for a wheelchair user, exceeding standard limits due to hardship (L 13 AS 185/23 B ER).
  • Baden‑Württemberg’s regional court granted Bürgergeld despite a foreign old‑age pension where the benefit stemmed from forced circumstances and the claimant remained work‑oriented, underscoring a narrow exception to the usual exclusion (L 2 AS 2146/22).
  • From 1 January 2026 Deutsche Post ended cash pension payouts, requiring transfer to a bank account via the Renten Service form for non‑cash payment, with a legal right to a basic account to prevent interruptions.
  • New 2026 Grundsicherung housing‑cost rules standardize adequacy thresholds, shorten grace periods and reduce discretion, increasing the risk of rent shortfalls or moves, while Wohngeld‑Plus expands eligibility based on household size, income, rent and asset limits.