German headline: “Reform der Riester-Rente: ETF-Depot, jetzt auch staatlich gefördert”
The German government is reforming the Riester pension scheme. Key changes include increased subsidies for small contributions and including self-employed individuals. This reform aims to boost private retirement savings and address concerns about the scheme’s cost.
The German government, through the Bundestag, has approved a reform of the Riester pension scheme. The reform aims to support individuals with limited retirement savings. The scheme now includes self-employed individuals and offers more attractive bonuses. The government is also introducing a pension deposit account. Starting in 2027, a new government-backed pension scheme will be available. This new scheme replaces the existing Riester-Rente scheme.
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Highlights
Government increases pension subsidies
The government is increasing subsidies for small pension contributions to encourage more savings.
Self-employed included in the scheme
The reform includes self-employed individuals in the benefits of the pension scheme.
New pension deposit account established
A pension deposit account is being created as part of the reform.
Reform aims to boost savings
The reform aims to increase private pension savings and address concerns about the Riester-Rente.
New scheme replaces Riester-Rente
The SPD and CDU have agreed to replace the Riester-Rente with a new scheme.