A new report from the German Pension Insurance (Deutsche Rentenversicherung) reveals a significant rise in the disbursement of basic pension supplements (Grundrentenzuschlag) and corresponding expenditure. The ‘Basic Pension Balance 2024’ document, as reported by Bild, highlights a growing number of recipients and escalating costs.
Currently, 1.4 million seniors are benefiting from the basic pension supplement, a notable increase compared to 2023. However, it’s also revealed that 1.35 million individuals eligible for the basic pension, based on 33 years of low-wage work, are not receiving the supplement due to existing income levels, either their own or those of their partners.
In the past year, 377,067 men received the basic pension supplement, averaging 78.98 euros per month. This resulted in an average net pension increase to 978.13 euros. For comparison, the average supplement in 2023 was 76.43 euros. The number of women receiving the basic pension rose to 1,022,980, receiving an average supplement of 104.24 euros, up from 97.40 euros in 2023. This raised the average pension payout for women to 994.39 euros.
Recipients of disability pensions are receiving the largest supplements. Men in this category receive an average of 88.15 euros, while women receive 109.53 euros. Widows and widowers receive the smallest supplemental payments, with widowed men receiving an average of 56.34 euros and widows receiving 55.54 euros.
The pension fund’s expenditure on the basic pension increased significantly in the past year, rising by 237 million euros to a total of 1.64 billion euros – a 17% increase. This growth underscores the ongoing impact of the basic pension program and its implications for the German pension system.