Overview
- Official forecasts for the statutory pension increase due 1 July 2027 currently range from about 4.09 percent to 4.4 percent, and the final adjustment will be fixed in spring 2027 when wage and contribution data are settled.
- The Altersvorsorgereformgesetz replacing the Riester system is confirmed to start on 1 January 2027 and includes a new Grundzulage of up to €540 a year and a 1 percent cost cap for a standard state‑backed depot, while existing Riester contracts keep legal protection.
- The federal cabinet has tabled a Pflegeneuordnungsgesetz that would convert Pflegegeld into a purpose‑bound Entlastungsbudget with draft monthly figures for care grades 2–5, but the measure is not yet law and some separate entitlements would be folded into the new budget.
- Cabinet proposals also raise next year’s contribution assessment ceilings (monthly limits for health/care and pension/unemployment insurance), which would increase social‑security deductions for higher earners if the Bundesrat confirms them.
- Who gains in cash terms will depend on offsets and rules: higher health and care contributions, taxes, cuts to means‑tested benefits like Grundsicherung or Wohngeld, and administrative proof requirements such as P‑konto attestations that can raise protected account balances to €2,446.42 with full documentation.