Pension Gap Calculator: Your Way to Financial Freedom for Expats in Germany
How much money will you really need in retirement? Our simple tool helps you calculate your monthly gap. It considers inflation, taxes, and your foreign pension benefits.
Check your 'Renteninformation' for this value.
Money you expect from other countries.
2.0 %
Your Monthly Pension Gap
0 €
Net Today (est.):0 €
Needed in Retirement*:0 €
Pension Deduction (early):**0 %
Estimated Net Pension:0 €
Attention: A statutory pension is usually only paid from age 63. Until then, the gap is 100%.
*Accounts for loss of purchasing power due to inflation for the same standard of living.
**Statutory reduction (0.3%/month) compared to your individual standard retirement age (max. 14.4%).
How to close the gap for Expats in Germany
The pension gap is the difference between your current income and what you will get from the state. Many people are surprised by how large this gap is. Inflation makes your money worth less every year. Also, you must pay taxes and health insurance on your pension.
To have a good life in retirement, you need private savings. Here is what helps:
Start Early: Even small amounts grow large over 20 or 30 years.
Invest in ETFs: High-yield investments are better than simple bank accounts.
Tax Benefits: Use special plans like Net Policies to save taxes while you save money.
Frequently Asked Questions
How accurate is the gross-to-net estimation?
Our calculator uses a complex formula simulating social security contribution ceilings and progressive income tax. It is much more accurate than flat percentages but does not replace an exact payslip.
Why do deductions decrease percentage-wise for very high salaries?
In Germany, social security contributions are capped. If you earn above the contribution assessment ceiling, you don't pay further contributions on the part exceeding it. Our calculator accounts for this automatically.
What inflation rate should I assume?
Historically, inflation in Germany often ranges between 1.5% and 2.5%. To be on the safe side, we recommend calculating with at least 2.0%.
How much net remains from my pension?
Retirees in statutory health insurance pay about 11% for health and long-term care insurance. Additionally, pensions are taxable, although an allowance applies. Our calculator provides a rough estimate of these deductions.
What can I do if the gap is too large?
Don't panic. The earlier you start, the more effectively the gap can be closed. ETF-based net policies or the new Pension Depot offer excellent opportunities to build wealth with tax advantages.
Does this calculator replace a consultation?
No. The calculator is for orientation only. Individual planning considering your tax class, children, and existing contracts is essential in my digital consultation.
Legal Note: This calculator is for non-binding information and orientation. It does not replace individual advice. The calculations are based on standard financial mathematical formulas. Daniel Hüsken accepts no liability for the accuracy of the results.
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