Rent shock for many: Age group threatens to sink into poverty!

Rent shock for many: Age group threatens to sink into poverty!

Deutschland - The pension crisis in Germany is heading up, and above all a certain age group is faced with considerable problems. According to current reports, people without private or company pension schemes face considerable challenges in retirement. The German pension insurance system proves to be increasingly unstable, which is primarily due to the increasing life expectancy and the inadequate birth rate. Pension experts have been warning of a possible collapse of this system for years. A leading pension expert expressed that this age group was "only difficult to help", which illustrates the urgency of the situation. op-online.de reports .

Demographic development in Germany causes long -term financing problems of the statutory pension insurance. Current statistics show that almost 61% of pensioners receive less than 1200 euros net per month. In the case of single people, the statutory pension is even lower in the risk of poverty; Here each third receives less than 750 euros net. The pension insurance is financed by a levy procedure in which the ongoing pension payments are disputed by the contributions of the employed people. However, the low birth rate in combination with the increasing life expectancy leads to an increase in the number of pensioners and thus to a greater financial burden. Deutschlandfunk indicates this problem . .

growing poverty in old age and rising grants

The statutory pension insurance is already subsidized with tax funds that cover around 30% of the expenses. Forecasts of the IFO Institute show that 60% of the federal budget could be needed for pensions in the near future. The federal government currently pays around 100 billion euros in pension insurance as a grant. Without stopping lines, pension financing could claim almost 40% of the federal budget by 2050. This increasing financial burden could be a challenge due to increasing new debt and lead to possible tax increases. Deutschlandfunk analyzes these risks .

Another concern of worrying is the increase in poverty in old age, especially among women with interrupted work biographies. Even if a “stop line” applies to pension contributions of a maximum of 20% of the average earnings by 2025, political discussions about the increase in pension contributions and the pension level are still a controversial point. The pension commission recommended a continuation of these stops beyond 2025, which, however, encounters political resistance. offers statistics and reports on .

statistics on pension insurance

Current data from the German pension insurance illustrate the situation: On December 31, 2023, the number of insured persons without a pension was 58.488 million, while the number of pensions paid was around 25.963 million. As of July 1, 2024, there were around 21,369 million pensioners. In 2024, 1.824 million pensioner applications have been recorded so far, which illustrates the increasing pressure on the system. These figures make it clear how important a comprehensive reform of old-age provision in Germany is to secure the financial stability of the pension insurance in the long term. Class = "Source_3"> German Pension Insurance provides interesting insights into current statistics .