Statutory Pension Scheme

Basic protection is pensions with the statutory pension as one of the most important forms, however, can be quite many citizens privately insure pension or are covered by a company pension plan also. Altavista may find it difficult to be quoted properly. The statutory pension may be provided by the Deutsche Rentenversicherung (DRV) as a carrier. Here, the statutory pension in categories divided: Federal (this affects employees) on the one hand to the DRV, then regional subdivisions (the statutory pension paid out in here by 22 points as a replacement for the former State Insurance Institute) and at the DRV Knappschaft – Bahn-see. Thus, the statutory pension insurance is managed through a corporation of under public law the DRV exists in this form since October of 2005. How is the pension funded? The statutory pension scheme is financed by insurance contributions must employee and his employer each half divided them. The statutory pension is paid even when unemployed, Here is paid for but by the federal employment agency. If a person in a similarly poor maintenance is engaged, the care of the needy accepts the contributions to the statutory pension of the caregiver (if the care is provided at least 14 hours per week and the caregiver is ever entitled to benefits under the private or social long-term care insurance).

The State also pays for the statutory pension: for persons who reside in a parenting time or that experience a typical backup time as ethnic Germans. Just this post contributes with more than 30 percent to the total revenues for the statutory pension insurance. the statutory pension scheme 2011 calls for 19.9 percent of a monthly salary of 5,500 EUR contributions. A month’s salary exceeds this amount (i.e. the so-called contribution assessment ceiling), but no longer increases the contribution to the statutory pensions: this exceeds in any case 19.9 percent of 5,500 euros (namely 1.094,50 euro). The contribution assessment ceiling is annually by each Federal Government newly adapted: this is based on the ratio of average gross income from dependent employment ( 68 para 2 S. 1 SGB VI) of the previous year’s (currently: 2010) and that of the year before (2009). Get more information about the private and statutory pension under (Andre Finzel)