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Germany's Aktivrente Plan Faces Resistance as December Pension Changes Begin

Parliament has yet to approve the plan, with December bringing recalculated disability surcharges plus the end of cash pension payouts.

Overview

  • The government proposes an Aktivrente from 1 January 2026 that lets retirees at the statutory age earn up to €2,000 a month tax‑free in regular insured employment, but the law is not yet final.
  • Self‑employed, freelancers, farmers, mini‑jobbers, early retirees and civil servants are excluded under the current draft, and health and long‑term care contributions would still apply on wages.
  • Fiscal estimates for the Aktivrente range around €770–€890 million per year, with supporters citing labor‑market benefits and critics warning of limited reach and possible displacement of younger workers.
  • A group of 18 young CDU/CSU MPs says the broader pension bill is not acceptable in its current form and urges changes or a delay, while SPD leaders push for a December Bundestag vote.
  • The cabinet‑adopted pension report projects increases of about +3.73% from July 2026 and ~4.75% in July 2027, as the pension agency in December integrates certain disability surcharges into main payments with potential 17‑month backpay and ends cash disbursements.