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“Apples and pears”: That’s how long pensioners would have to work for a civil service pension

2024-02-15T04:13:10.627Z

Highlights: The average pension in Germany is currently 2,630 euros per month (gross) According to the Pension Atlas 2023, the average pension among employees is much lower. If an average employee wants to earn the same amount as an average pensioner, he would have to work for 73 years. “Apples and pears’: That’s how long pensioners would haveto work for a civil service pension. As of: February 15, 2024, 4:51 a.m



As of: February 15, 2024, 4:51 a.m

By: Nadja Zinsmeister

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New figures from the federal government are likely to frustrate many employees.

For the same amount of money in old age as civil servants, you would need more working life.

Munich - Current figures from the federal government show: If you put an average pensioner next to a pensioner, he will do significantly worse in a direct comparison.

However, the Federal Office of the Interior and Community (BMI) warns against jumping to conclusions too quickly.

It is important to first understand what the difference is between a pension and a pension.

The average pension in Germany is currently 2,630 euros per month (gross), as

Bild

reported on Monday, citing the federal government.

According to the

Pension Atlas 2023,

the average pension among employees is much lower: retired men receive an average of 1,728 euros in gross pension per month, while women only receive around 1,316 euros.

Pension or pension: This is how much an employee would have to work for the same amount as a federal civil servant

According to Bild

calculations , if an average employee wants to earn the same amount as an average pensioner, he would have to

work for 73 years.

In other words: At first glance, a complete working life is not enough to achieve the same value as a pensioner with the same income at the end of life.

The only other option for workers initially appears to be to earn around twice as much as average.

According to the Federal Statistical Office, for example, the average salary of full-time employees in April 2023 was 4,323 euros gross per month.

If you take this value as a basis, an employee would have to earn more than twice as much gross per month.

Only then would he get a similar value in his pension.

The pension and pension in comparison.

(Symbolic photo) © Michael Bihlmayer/Imago

As the federal government's figures show, there are also pensioners who receive less than 2,000 euros gross per month.

This is almost one in four.

On the other hand, around one in four people also receive more than 3,000 euros gross in their pension.

According to information from Bild,

the majority is

between 2,000 and 3,000 euros.

Civil servant pension much higher than pension?

Why the comparison is flawed

However, the Federal Office of the Interior and Homeland warns against a direct comparison of the two amounts.

"Comparing average pensions and pensions is a comparison of 'apples and oranges,'" the website says.

For example, one must note that pensions regularly cover the entire or at least the majority of a working life.

However, shorter periods of employment and all occupational groups with pension insurance are also taken into account when calculating the “average pension”.

“Average pensions also include 'small pensions', e.g.

B. mini-jobbers or pensions that are paid based on only a few years of insurance (e.g. when changing to another pension system).”

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The BMI also points out that civil servants must take out private health and nursing care insurance in order to cover the portion of medical expenses not covered by the allowance.

“The contributions for this are not income-dependent, but risk-related and therefore often reach a considerable amount, especially in old age,” explains the BMI.

For many civil servant pensions, there would be much less left over net than gross.

In the pension, however, the social benefits have already been deducted in the calculations.

(nz)

Source: merkur

All news articles on 2024-02-15

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