Overview

• From 1 January 2026, people at the statutory retirement age may earn up to €2,000 per month from employment tax‑free; health and long‑term care contributions still apply, and regular retirees will not pay pension or unemployment insurance on that income.
• The finance ministry projects revenue losses of roughly €900 million in 2026 and around €1 billion annually thereafter, while the IW and Caritas warn of up to about €2.8–3 billion per year and question fairness and the exclusion of many self‑employed.
• The Deutsche Rentenversicherung will fold the Erwerbsminderungs‑Zuschlag into the main pension from December 2025, re‑determining affected cases as of 30 November; some will receive a 17‑month back payment, and survivors’ pensions may drop because the amount will count as income.
• A government draft envisages raising the pension contribution rate to 18.8% in 2027 to help keep the replacement level near 48%, with the increase split between employers and employees.
• Operational changes start in October: banks implement PSD3 name‑IBAN checks without delaying DRV pension transfers, instant payments become standard on 9 October, and cash pension payouts via Deutsche Post are being phased out by December 2025.