In short
If you save for old age, the state adds money on top. Here you can see how much.
Last checked: 11 October 2026 · 6 min read · RenteKannMehr editorial team
Now in more detail
The subsidy for private pension saving has two parts: allowances, which are paid straight into your contract, and a possible tax advantage through the special expenses deduction (Sonderausgabenabzug). From contribution year 2027 the allowance is calculated in a new way.
The basic allowance (Grundzulage) from 2027
The basic allowance now depends only on your own contribution: for the first €360 a year you get 50% on top, and for every further euro up to €1,800 it is 25%. The highest basic allowance is therefore €540 a year.
| Own contribution per year | Equals per month | Basic allowance |
|---|---|---|
| €120 | €10 | €60 |
| €360 | €30 | €180 |
| €600 | €50 | €240 |
| €1,200 | €100 | €390 |
| €1,800 | €150 | €540 |
Minimum own contribution (Mindesteigenbeitrag)
You only get allowances if you pay in at least €120 yourself in the contribution year – that is €10 a month. The previous calculation with 4% of the previous year's income no longer applies.
Child allowance (Kinderzulage)
For each child for whom child benefit (Kindergeld) has been awarded to you, a child allowance equal to your contribution is added – at most €300 per child per year. So the full child allowance is already reached with a monthly contribution of €25. Details: Child allowances and possible subsidy conditions.
Career starter bonus (Berufseinsteigerbonus)
Anyone who has not yet turned 25 at the start of the contribution year receives a one-off €200 on top of the basic allowance.
Worked example
Three situations
Single, €50 a month: €600 own contribution → €240 basic allowance.
One parent, two children, €25 a month: €300 own contribution → €150 basic allowance + €600 child allowance = €750.
Aged 23, €30 a month, first year: €360 own contribution → €180 basic allowance + €200 bonus = €380.
The examples assume that the person is eligible for the subsidy and meets all the conditions.
The tax advantage
In addition, you can claim contributions of up to €1,800 a year plus the allowance as special expenses (Sonderausgaben). The tax office checks automatically whether the tax advantage is higher than the allowance and refunds only the difference (the "more favourable option" test, Günstigerprüfung). How much this brings depends on your personal tax rate – that is why we do not calculate this part.
Who is eligible for the subsidy?
- People with compulsory insurance in the statutory pension insurance scheme, that is, most employees
- Civil servants (Beamte) and comparable groups
- New from 2027: self-employed people and compulsory members of professional pension schemes (berufsständische Versorgungswerke), subject to further conditions
- Spouses of eligible people can be indirectly eligible; their basic allowance is then at most €175
No individual promise
The Central Allowance Office for Retirement Assets (Zentrale Zulagenstelle für Altersvermögen) decides on your entitlement. Our figures are example calculations based on the text of the law and do not replace a check of your individual case.
More questions?
If you have more questions, talk to a personal adviser near you. They can look at your situation in detail. Asking is free and without obligation.