Overview
- From January 1, 2026, retirees can earn up to €2,000 per month tax‑free under the Aktivrente, which does not apply to self‑employed, freelancers, farmers, civil servants or minijobbers.
- The government extended the 48% pension level safeguard to 2031, with a provisional July 2026 increase of about 3.7% to be finalized in spring based on wage data.
- A 13‑member commission is in place to deliver comprehensive reform proposals by mid‑2026, setting up decisions on the system’s structure later in the year.
- Debate focuses on options such as raising the retirement age beyond 67, tying retirement to years of contributions in a “Leistungsrente,” and possibly levying pension contributions on capital and rental income.
- Administrative changes for 2026 include an unchanged 18.6% contribution rate, higher assessment ceilings, higher earnings limits alongside disability pensions, and pricier purchased pension points with retroactive contributions for 2025 allowed until March 31, 2026.