Retirement provision: How the Riester successor can be worthwhile for high earners
More can be paid into the old-age pension depot than is necessary for the subsidy. In retirement, the tax rates are then low - but sometimes they are paid dearly.
The German government has approved the "Altersvorsorgedepot" (old-age provision depot), which will replace the Riester pension on December 31st of this year. From January 2027, not only employees but also self-employed individuals and civil servants will be able to benefit from state subsidies. The new scheme allows for a maximum annual contribution of €1,800 to receive a state subsidy of up to €540.
Additionally, contributions exceeding the maximum subsidy can be made, with potential tax benefits, and up to €6,840 can be invested in two separate contracts.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
