Low pension entitlements: Why some age groups receive less pension

Low pension entitlements: Why some age groups receive less pension

The amount of the pension in retirement varies depending on individual factors, such as the number of years of contributions, earned income and year of birth. Although it is not possible to name the exact lowest pension cohorts, there are cohorts that receive less pension due to various circumstances. The pension amount is significantly influenced by factors such as the number of years of contributions, the average income during working life, the type of pension access and the number of children.

The baby boomers typically receive the highest pension in Germany, while other age groups receive less money in retirement due to different living conditions. The average income during working life plays a crucial role as it determines the number of earnings points and thus influences the later pension amount.

Earlier cohorts born before 1947 often had lower incomes than cohorts born later, which is reflected in their pension entitlements. During wartime, hardly any contributions were paid into the pension fund, which leads to fewer years of contributions and lower pension entitlements for these age groups.

Social and cultural aspects also influence the amount of pension. Those born after 1964 often have fewer years of contributions due to unemployment, longer training periods and part-time work, which can have a negative impact on their pension entitlements. On average, women still receive a lower pension than men, mainly due to part-time work and parental leave.