Overview
- The new bonus applies only after reaching statutory retirement age and is a tax incentive, not a new pension type; self‑employed, Minijobbers, farmers and civil servants are excluded, and social‑insurance contributions are still due on full earnings.
- The pension level is safeguarded at 48% through 2031, with an increase of about 3.7% in benefits expected in July 2026 pending final wage data.
- For new retirees in 2026, 84% of the first full‑year pension is taxable, and contribution assessment ceilings rise, including the general pension insurance cap moving from €8,050 to €8,450 per month.
- Cost pressures grow as many statutory health insurers raise additional premiums at the turn of the year, reducing take‑home pay for employees and increasing employer costs.
- A proposal to grant retirement after 45 contributory years remains under discussion and is not enacted, with supporters and party leaders signaling possible political moves in the second half of 2026.