The Riester pension is a state-subsidized pension plan . It can supplement the statutory pension. Riester may any employee or official who pays into the pension fund. For self-employed and apprentices there are special regulations. The accumulated money is paid at the earliest from the age of 60 years, but generally at retirement, in monthly installments. By law, it is stipulated that at least the deposits and government allowances must be paid out. You can claim up to 30 percent of the capital at the start of the payout phase at one go.
Advantages of the Riester pension
The state pays annually 154 euros for private provision. The additional payment depends on the amount of the deposits. Only those who pay four percent of their income can enjoy the full allowance. If the deposits are lower, there is only half of the allowance. For children born before 2008, the state increases the subsidy by 180 euros. For each born after 2008 child, there are 300 euros. The child allowances are paid as long as the children receive child benefit or until they are 25 years old. Young professionals under the age of 25 receive a one-off entry-level bonus of 200 euros. Trainees who had no income in the previous year only have to pay 60 euros.
A tax bonus from the state
The Riester pension may be entered in your income tax return as a special expense. The maximum amount for individuals is € 2,100 and for couples € 4,200. The tax advantage is reduced by half of the allowances. Particularly large families benefit from the allowances. These are often higher than the tax advantage. Good to know: The payments from the Riester pension must be taxed upon receipt. However, the tax rate in old age is lower than in the professional life.
Residential Riester is suitable when a property is to be purchased. Borrowing for the purchase will be supplemented with allowances and tax benefits if you borrow a Riester-funded loan. You benefit from a residential Riester by the faster payment of the loan by the allowances and a lower interest rate. However, these benefits only come into play if you inhabit the property yourself.
When you conclude a Riester pension insurance , you will know in advance how much you will receive in the pension. With the Riester Calculator of Aachen Münchener you can easily and conveniently calculate your personal Riester allowance.
The interest rate is based on the interest rates of life insurance. Negative beat in this form, the high costs to book.
With a Riester fund savings plan you achieve the highest returns. Because the sum of all deposits must be available to retire, your contributions will usually go into secure pension funds with a lower return. With the unit-linked Riester pension insurance you select the shares yourself. With the Riester fund savings plan, you have no influence on the selection.