Report of the Pension Commission

As one of the 13 members of the Pension Commission, Silke Übelmesser contributed to the development of 33 recommendations aimed at safeguarding Germany’s old-age security system over the long term. The recommendations were presented in June 2026.

• The aim is to develop statutory, occupational and private pension provision in a sustainable and intergenerationally equitable manner.
• Key proposals include the introduction of a statutory funded pension component, the extension of statutory pension coverage to additional groups and adjustments to the retirement age.
• The report was submitted to the Federal Ministry of Labour and Social Affairs on 23 June 2026. Federal Minister Bas has announced her intention to implement the recommendations as fully as possible.

The recommendations of the Commission on Old-Age Security represent an important step towards reforming Germany’s pension system.

A statutory funded pension component is to be introduced

A statutory funded pension component based on the Swedish model is to be introduced within the statutory pension insurance system for everyone. In the long term, the returns generated are expected to raise the pension level for today’s younger generations.

Building up the funded pension component will take time. A transitional factor is therefore intended to ensure that the pension level for all new retirees remains at least as high as it is today.

Statutory pension coverage is to be extended

For reasons of social equity, the statutory pension insurance system is to be transformed into a system covering all employed and self-employed persons. In the longer term, additional occupational groups, including the self-employed, civil servants and members of parliament, are to be included.

As a first step, all new self-employed persons who are not covered by a mandatory pension scheme are to be included in the statutory pension insurance system. The same is to apply to members of the German Bundestag and the state parliaments. This will broaden shared responsibility for the statutory pension insurance system. Reforms of the statutory pension insurance system are to be applied to civil servants’ pension schemes in an equivalent manner.

The retirement age is to be raised

The retirement age is to be increased moderately and linked to rising life expectancy. Based on current projections for life expectancy, the statutory retirement age would rise by approximately six months every ten years.

The “pension at 63” scheme—currently effectively a pension at 64½—is to be replaced by a special provision for people who have contributed for many years but are no longer able to continue working in their occupation for health reasons shortly before retirement. Under this “protected pension for long-term contributors”, they would not be required to take up another occupation but would instead be able to retire earlier.

The allowance under basic income support in old age is to be increased so that work pays

In future, statutory pension benefits are no longer to be deducted in full from basic income support in old age. A new pension allowance is to be introduced within the basic income support system. This means that people who have worked will always have a higher income than those who have paid no or only limited pension contributions. The precise design of the new pension allowance is to be determined as part of the implementation of the Commission’s proposals for reforming the welfare state.

Occupational pensions are to be adopted by more companies

A dialogue between the social partners is to be launched to develop concrete measures that will significantly increase the prevalence of occupational pension schemes.

LINK: Rentenkommission 2026 - BMASExternal link