Overview
- The health ministry's draft, reported on June 9, 2026, would cut the fictitious income that generates pension credits for family caregivers by 30 percent for rights accrued from 2027 and the ministry projects savings of about €1.8 billion in 2027 and more than €2 billion per year thereafter.
- Model calculations in coverage show five years of full-time home care could mean roughly €60–€70 less pension per month under the proposed 30 percent reduction, with larger lifetime losses for long care periods.
- The government's Rentenkommission is preparing recommendations due at the end of June that include replacing the current widow's and widower's pension with compulsory rent splitting, a change that would convert survivor support into shared, pre-death pension entitlements.
- The DGB has pushed for a mandatory occupational pension for all and Finance Minister Lars Klingbeil has signaled support, while employers and some economists warn that a compulsory scheme would raise costs for many firms and may need state design or subsidies to be viable.
- Nothing is decided yet; the draft must clear cabinet, Bundestag and Bundesrat stages, and debates over transition rules, trust protection for near-retirees and safeguards for low earners, caregivers and surviving spouses will shape any final law.