Pension forecast for 2037: German pension insurance predicts an increase of almost 43 percent

Pension forecast for 2037: German pension insurance predicts an increase of almost 43 percent

According to a report by amp2.wiwo.de, pensions are expected to increase by almost 43 percent by 2037. This corresponds to an average increase rate of 2.6 percent per year. The reserve in the pension fund is estimated to be around 44.5 billion euros by the end of 2023. The contribution rate should remain stable at 18.6 percent until 2027, but then rise to 20.2 percent by 2030 and finally to 21.1 percent by 2037.

The President of the German Pension Insurance Association, Gundula Roßbach, sees the positive financial situation of the pension insurance as evidence of the good positioning of the statutory pension. She attributes this to the robust situation of the labor market and emphasizes that never before have so many people been employed as in the third quarter of 2023. Pension insurance income from contributory employment increased by 5.4 percent compared to the same period last year.

According to a forecast by the Ministry of Labor, the plans for an announced pension reform have not yet been taken into account. The planned reform could influence the forecasts and future development of the pension.

This development shows that the financial position of the statutory pension is solid due to increasing employment and the increase in contribution income. However, the planned pension reform and future economic developments should continue to be closely monitored to assess their impact on the market and the financial sector.