Overview

• New data from the federal statistics office show about one in five people aged 65 and over has at most €1,400 net per month, while the top fifth exceed roughly €2,870.
• The median income for retirees rose about 9% from 2021 to 2024 to around €1,990, lagging the roughly 11% increase for the overall population as the 65+ cohort grew to 16.3 million.
• Means‑tested support in old age climbed to about 739,000 recipients by end‑2024, up 7% year over year and 31% since 2020, with statisticians citing a higher number of eligible refugees, including from Ukraine, as one factor.
• Under the government’s proposed Aktivrente, employees at the statutory retirement age could earn up to €2,000 per month tax‑free from January 1, 2026, with no progression clause and in addition to the planned 2026 basic allowance, which would allow singles to shield up to €36,348 annually from income tax, according to current draft details.
• The draft currently excludes the self‑employed, many mini‑jobs, and certain professions such as farmers and freelancers, and key social‑insurance rules remain unresolved, while researchers note recent pension hikes in mid‑2024 and mid‑2025 may slightly narrow the gap.