The reform breaks with old structures. From 2027, the focus will shift to potential returns and flexibility: whilst previous models were often held back in their growth by rigid contribution guarantees, the new statutory framework now allows for consistent investment in high-yield assets such as investment funds or ETFs – whilst retaining full state subsidies.

In principle, anyone compulsorily insured under the statutory pension scheme, as well as civil servants, is eligible for support. What makes this reform special is that, from 2027, the group of eligible people will be significantly expanded, so that in future the self-employed, compulsory members of professional pension schemes and other groups will also have access to state-subsidised private pension provision.

If you make a personal contribution of €1,800, you will receive the full basic allowance of €540. Additional allowances may also apply, such as child allowances and tax benefits.

Definitely! Anyone who starts before their 25th birthday receives a one-off extra €200 and benefits from the compound interest effect for the longest period.

When you submit your tax return, the tax office checks whether deducting your contributions as special expenses is more tax-efficient than simply claiming the allowances. You’ll automatically receive the more favourable outcome.

Yes, life rarely follows a straight path. You have the option to adjust your personal contributions to suit your current life situation – whether it’s a career move, parental leave or a change of career.

Unlike the state pension, the capital in a tax-advantaged private pension scheme is, in principle, inheritable. The existing balance can be transferred to your partner or your heirs. In the event of inheritance, tax-advantaged contributions may need to be repaid. Special transfer options are available for spouses.

The reform brings significantly more freedom during the withdrawal phase. In future, you can choose whether you prefer a lifelong monthly pension or a flexible payment plan until the age of 85.

State-subsidised private pension schemes operate on the principle of so-called deferred taxation. For you, this means that during the savings phase, you receive substantial support in the form of allowances and tax benefits. It is only when you receive the payments in old age that they are taxed as income – usually at a lower tax rate by then.

Switching may be a sensible option to benefit from new opportunities for returns. However, as existing policies often have specific individual features and the legal rules are complex, you should examine your options in detail during a personal consultation with your adviser.

It’s worth making a note of this now! This way, you’ll secure an information advantage and be able to start 2027 with the optimal strategy straight away.