Overview

• From January 1, 2026, people at statutory retirement age who work in social‑insurance employment can earn up to €2,000 per month tax‑free.
• Early retirees, the self‑employed, civil servants, farmers and mini‑jobbers are excluded, prompting the medical chamber to urge inclusion of self‑employed doctors.
• Thuringia’s education minister says the incentive could help keep experienced teachers in classrooms, though teacher representatives caution that better working conditions are still needed.
• DIW warns of substantial Mitnahmeeffekte, estimates initial revenue shortfalls of about €770 million, and says roughly 75,000 additional working retirees are needed for a net positive impact.
• Estimates differ on immediate beneficiaries—about 230,000 per DIW versus roughly 168,000 per the government—and a two‑year review is planned; earnings remain subject to health and long‑term care contributions but not unemployment insurance.