More and more seniors are retiring at the age of 63 – without deductions. As a result, expenditure on this form of retirement is also increasing.
Berlin – Retiring at 63 is very popular. More seniors than expected are taking advantage of the opportunity to retire a few years earlier without a deduction. According to a report in the Bild newspaper, the cost of the earlier pension after 45 years of insurance is therefore significantly higher than planned.
Retirement at 63: millions of people take advantage of this opportunity
As the newspaper reports, citing new figures from the German Pension Insurance, there were already 1.99 million people at the end of July who retired at the age of 63. So far, this is about 400,000 more seniors than had been expected when it was introduced in 2014.
According to the Bild report, 268,957 new pensioners took advantage of the deduction-free path to retirement last year alone. That was 26.3 percent of all new pensions and the highest share since 2015. As a result, expenditure on this type of pension is also increasing. In July, the pension fund paid out 3.4 billion euros for retirement at 63 alone, the newspaper reports.
Despite the earlier entry, these new pensioners received an average of 2021 euros net per month in the west and 1644 euros net in the east in 1350. New pensioners in the west, on the other hand, received 1220 euros and in the east 1286 euros net/month.
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Later retirement: Employers want to have retirement age checked
Currently, according to current law, the retirement age is gradually being raised to a regular 67. At the same time, in view of demographic change, there is a heated debate about raising the retirement age even to 70 years. Due to the approaching retirement of the baby boomer cohorts, more and more pensioners will have fewer and fewer contributors in the future.
According to the German government's demographic report, almost one in three Germans will be over 2030 by 65. In addition, the proportion of 20- to 64-year-olds is shrinking noticeably. According to the will of the employers, the retirement age should therefore be put to the test again in the foreseeable future. (lma/AFP)
