Overview
- The Bundestag approved the Altersvorsorgereformgesetz Friday, with the new Altersvorsorgedepot taking effect on January 1st, 2027.
- State support follows a proportional schedule that adds €0.50 per €1 up to €360 and €0.25 per €1 up to €1,800 for a €540 maximum, with self‑employed workers newly eligible.
- All banks, savings banks, and insurers must offer a simple standard product capped at 1% total lifetime costs, and a publicly managed standard depot will serve as a low-cost option and benchmark.
- Existing Riester contracts remain valid and can still receive payments, and the pension insurer warns that canceling now triggers repayment of past allowances and tax benefits.
- Further rules from the Finance Ministry will set details such as youth “Frühstart” accounts, and consumer advocates warn the 1% fee cap could meaningfully reduce long‑term returns.