To those who care!!!!
Riester-Rente
Private pension insurance in Germany
Due to the low salaries of retirees, salary barely provides a good life in Germany
Benefits of this insurance:
Incentives provided by the state and represented as follows:
- Anyone with a child born before 2008 receives an annual amount of 185
- Anyone with a child born after 2008 receives an annual amount of €300
- The insured person receives an annual amount of €175
. Children's incentives are taken annually during the period during which parents receive kindergarten and may reach the age of 25
Tax exemption for all amounts entered into this private pension insurance
. The amount saved consists of cumulative benefits (as desired with interest or no interest).
Given the retirement age, the insurance holder receives the amount saved with the incentives and benefits provided.
The holder of the contract can receive 30% of the total amount once he enters retirement age 62 and the remaining amount is divided as a lifetime pension.
In addition to these features provided by this insurance, the insured person can use the savings amount to repair or renovate the house or build a new home provided that the house or apartment belongs to the holder of the contract.
It should be noted here that families with a large number of children are the most likely beneficiaries of the benefits of this contract.
Anyone with two or more children should enter into this contract because of the above features, but this does not prevent others from taking advantage of these benefits, especially those related to taxes and benefits.
Also don't forget the incentives offered to the insured person (Grundzulage)
There is also an incentive for young people under the age of 25 who conclude this contract and are given €200 in savings at the beginning of the decade.
Example of simplification
A family of two children, one born in 2005 and a brother born in 2015, the head of the family receives an annual salary of 30,000 euros.
The monthly amount to be saved as a condition for all incentives and benefits is calculated as follows.
4% of total annual salary = 1200 euros
First child receives an annual incentive = 185 euros Kinderzulage
The second child receives an annual incentive = 300 euros
Incentive per person = 175 euros grundzolag
------------------------- -------------------------------------------
The annual amount to be paid is 540 euros
Monthly amount payable: €60
- Anyone who pays 60 euros to provide an annual incentive of 660 euros.
Noteworthy points
The self-employed and students are not allowed to enter into such contracts
. The insured person can reduce the monthly amount up to 5 euros when losing work, i.e. pay only 60 euros per year for all the benefits and incentives mentioned.
Annually
In the event of an increase in annual income, the insurance company should be informed in order to adjust the monthly amount paid.
If the newborn arrives in the family, you should inform the company of the increased value of the incentives.
There are many who criticize this type of pension insurance because it represents a heavy contractual tax on the one hand and on the other hand, the insured person is bound by this contract until he enters retirement age.
The minimum monthly savings is five euros.
Riester-Rente is an urgent necessity for anyone who wants to enter retirement age and enjoy this age without any financial burdens.
Due to the low salaries of retirees, salary barely provides a good life in Germany
Benefits of this insurance:
Incentives provided by the state and represented as follows:
- Anyone with a child born before 2008 receives an annual amount of 185
- Anyone with a child born after 2008 receives an annual amount of €300
- The insured person receives an annual amount of €175
. Children's incentives are taken annually during the period during which parents receive kindergarten and may reach the age of 25
Tax exemption for all amounts entered into this private pension insurance
. The amount saved consists of cumulative benefits (as desired with interest or no interest).
Given the retirement age, the insurance holder receives the amount saved with the incentives and benefits provided.
The holder of the contract can receive 30% of the total amount once he enters retirement age 62 and the remaining amount is divided as a lifetime pension.
In addition to these features provided by this insurance, the insured person can use the savings amount to repair or renovate the house or build a new home provided that the house or apartment belongs to the holder of the contract.
It should be noted here that families with a large number of children are the most likely beneficiaries of the benefits of this contract.
Anyone with two or more children should enter into this contract because of the above features, but this does not prevent others from taking advantage of these benefits, especially those related to taxes and benefits.
Also don't forget the incentives offered to the insured person (Grundzulage)
There is also an incentive for young people under the age of 25 who conclude this contract and are given €200 in savings at the beginning of the decade.
Example of simplification
A family of two children, one born in 2005 and a brother born in 2015, the head of the family receives an annual salary of 30,000 euros.
The monthly amount to be saved as a condition for all incentives and benefits is calculated as follows.
4% of total annual salary = 1200 euros
First child receives an annual incentive = 185 euros Kinderzulage
The second child receives an annual incentive = 300 euros
Incentive per person = 175 euros grundzolag
------------------------- -------------------------------------------
The annual amount to be paid is 540 euros
Monthly amount payable: €60
- Anyone who pays 60 euros to provide an annual incentive of 660 euros.
Noteworthy points
The self-employed and students are not allowed to enter into such contracts
. The insured person can reduce the monthly amount up to 5 euros when losing work, i.e. pay only 60 euros per year for all the benefits and incentives mentioned.
Annually
In the event of an increase in annual income, the insurance company should be informed in order to adjust the monthly amount paid.
If the newborn arrives in the family, you should inform the company of the increased value of the incentives.
There are many who criticize this type of pension insurance because it represents a heavy contractual tax on the one hand and on the other hand, the insured person is bound by this contract until he enters retirement age.
The minimum monthly savings is five euros.
Riester-Rente is an urgent necessity for anyone who wants to enter retirement age and enjoy this age without any financial burdens.
0 Comments