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1. The 0.01 percent trick: partial pension instead of full pension

Who is completely in Old age pension goes, loses the right to sick pay, i.e. the compensation payment from the health insurance company that occurs after six weeks of illness. This can be problematic if you continue to work and become ill for a longer period of time. A little-known trick is the so-called minimum partial pension. For example, anyone who receives 99.99 percent of their pension and continues to work is not formally considered a full pensioner. This leaves it Be entitled to sick pay. This is particularly interesting for pensioners from the new one Active pension benefit want. But be careful: the partial pension must already exist before illness occurs. A subsequent change usually doesn’t work.

2. Use your partial pension correctly from the age of 63

With at least 35 years of contributions, one is early pension possible from 63, however, with discounts of 0.3 percent per month. Anyone who leaves four years earlier must permanently accept a 14.4 percent lower pension.

An alternative is the partial pension. Instead of withdrawing completely, you can apply for a percentage of the pension while continuing to work. Discounts only apply to the portion called up. Anyone who plans to continue working anyway but wants to cut back and benefit from their pension can receive extra income and make other provisions. Anyone who applies for a 50 percent pension only pays deductions on this portion. He receives the remaining 50 percent in full or can even increase it if he continues to work beyond the applicable retirement age.

3. Buy pension points and compensate for deductions

If you want to retire earlier or close gaps, you can voluntary special payments afford. This allows you to acquire additional pension points or compensate for deductions.

A pension point currently costs just under 10,000 euros. The monthly pension increases by around 40 euros. Whether it is worth it depends on several factors: your own life expectancy, the tax burden and alternative return options. The special payments are tax deductible as pension expenses, which can reduce the effective costs.

Example calculation: 10,000 euros investment

• Tax advantage at the top tax rate (42 percent) = 4200 euros
• Important: Maximum expenses 27,566 euros for single people in 2025

This means that the pension point is refinanced with a monthly payment of 40 euros in twelve years.

Please note: The later pension payment will in turn be taxed.

4. Pay attention to taxes and social security contributions and combine active pensions

The gross pension does not correspond to the amount that ends up in the account. Since the switch to downstream taxation, the taxable share for new pensioner cohorts has been increasing continuously. In addition, there are contributions to health and nursing care insurance. Anyone who also receives a company pension or private payouts can quickly slip into higher tax brackets. Strategically planning payouts can help avoid progression effects.

The so-called active pension is also planned. According to current government plans, pensioners who continue to work voluntarily will be allowed to earn up to 2,000 euros a month tax-free. However, social security contributions remain. In combination with a partial pension or later retirement, this can be an interesting option for combining income and pension in a meaningful way.

5. Have all waiting times taken into account

Many insured people give away pension rights because periods are missing from their insurance history. It’s not just classic years of employment that count. Also training, studies, Raising children and caring for relatives can be taken into account. The following applies: Study periods count as credit periods for the waiting period, but do not provide any pension points of their own. They are therefore particularly interesting for those who are currently not entitled to a pension.

There are particularly relevant requirements for child-rearing periods. For children born after 1992, three years of parenting time are generally taken into account. This corresponds to three pension points. For children before 1992 it is up to two and a half years. One pension point currently brings around an additional 40 euros in pension per month. Three points would increase the pension by around 120 euros.

The prerequisite is an account clarification with the German pension insurance. This should be done no later than the age of 50 in order to close gaps in a timely manner. You can find the forms on the Website of the German pension insurance.

6. Apply for your pension on time

The pension does not start automatically. You must submit an application. The application should be submitted at least three months before the planned start of the pension. If documents are missing or the application is submitted late, the payment may be delayed.

7. Use unemployment benefit I as a bridge to retirement

If you lose your job shortly before retirement or if your contract ends in the years before retirement, you can still benefit from your entitlement to unemployment benefit. You can up to 24 months Unemployment benefit I if you are at least 58 years old and fulfill the previous insurance periods. ALG I is usually around 60 percent of the last net salary, or 67 percent with children. While you are receiving benefits, the Federal Employment Agency also pays contributions into the pension insurance, but based on 80 percent of your last gross salary. This time can help to bridge the phase until the regular start of retirement without having to accept reductions immediately. However, the design is important. Anyone who resigns or signs a termination agreement risks a blocking period of up to three months and a shortened benefit period. This strategy only works if the termination comes from the employer or is clearly justified under social law.