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Glossary term

Riester Pension

German state-subsidised pension

🇩🇪Germany · Tax Year 2026Reviewed Plain-English
Definition

What is Riester Pension?

Riester is a voluntary private pension for German employees — pay in 4% of gross income (max €2,100), receive state subsidy of €175/year plus €300/year per child under 25 born in/after 2008, plus tax deduction. Payouts from 62+ are taxed as income.

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