Old-age pension for those who have been insured for a particularly long time: No plans to abolish it by October 2023

Old-age pension for those who have been insured for a particularly long time: No plans to abolish it by October 2023

The tax-free pension for those who have been insured for a particularly long time could possibly be abolished from July 1, 2024. There are calls from employers, business economists and political voices calling for the end of this pension. However, there are currently no concrete plans to abolish this pension and, according to pension expert Peter Knöppel, the pension entitlement will remain in place for the time being. There is great uncertainty among the population, which can lead to early applications for pensions.

The old-age pension for those who have been insured for a particularly long time was introduced in 2012 and enables insured persons to retire before reaching the standard retirement age. The entry age for this pension was reduced from 65 to 63 in 2014, but only applies to certain birth cohorts. From December 31, 1963, the minimum age for this pension will be gradually increased to 65 years.

The possible abolition of this pension has an impact on the market and the financial sector. Insured persons who rely on this pension may need to rethink their retirement plans and consider alternative financial protection. The uncertainty among the population can lead to increased demand for financial advisory services. It is also possible that there will be an increase in early pension applications, as some insured people want to apply for this pension earlier for fear of its abolition.

It is important to note that there are currently no concrete plans to eliminate this pension. The uncertainty among the public is based on demands that are loudly raised in the media by various actors. There are no known legislative procedures for abolition until October 2023. Nevertheless, the future of the discount-free old-age pension remains uncertain for those who have been insured for a particularly long time, especially with regard to political majorities after the next federal election in 2025. Insured persons should therefore keep an eye on their individual situation and find out about possible changes.