Overview

• Finanztip reports more than five million Riester contracts have been terminated since inception, with roughly 220,000 additional cancellations recorded between January and August 2025.
• Riester retirees who began payouts in 2022 received an average of €1,581 per year (€132 monthly) before tax, while higher official projections rely on continuous maximum contributions since 2002.
• Finanztip calls for reform via low-cost ETF defaults with a 0.5% annual fee cap, optional guarantees, flexible and inheritable withdrawals, automatic enrollment, and clearer tax rules.
• Current policy moves include a planned Aktivrente letting people earn up to €2,000 a month tax-free after reaching the regular retirement age and a commitment to keep the statutory pension level at 48% at least until 2031.
• For 2025, 83.5% of a new statutory pension is taxable with a €12,096 basic allowance for single filers, and those turning 65 in 2024 can claim a 13.2% Altersentlastungsbetrag up to €627 on eligible side income.