Retiring early in Germany: the 45-year rule and the reform proposal
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Plan an early retirement? See what the pension commission’s proposal would mean for you: a permanent deduction or more months of work.
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Calculator: retiring after 45 years – today and under the reform
Today's rules
After 45 insurance years you can retire without a deduction before the standard retirement age – depending on your year of birth at 64 years and 2 months (born 1959) up to 65 years (born 1964 or later). After 35 years you can retire from 63, but with a deduction of 0.3% for each month before the standard age. All years of birth are in the retirement age table.
Worked example
Born 1965, €3,800 gross a month, 40 earnings points according to the pension statement, with children, statutory health insurance, no church tax.
Pension start without deduction: 1 September 2030
| Gross pension | €1,887 |
|---|---|
| Health insurance | − €165 |
| Long-term care insurance | − €68 |
| Income tax | − €62 |
| Net pension | €1,592 |
Under the reform proposal (under discussion): earliest start without deduction 1 September 2030, net pension €1,502 (−€90).
Amounts in today's purchasing power; the same inputs in the calculator give the same figures.
What does the pension commission propose?
In June 2026 the pension commission recommended abolishing the pension without deduction after 45 years and raising the earliest retirement age for people with 35 years to 64. There is no bill yet, and transitional rules are open. In the calculator you therefore set yourself from which pension start the reform should apply.
Which periods count towards the 45 years?
Compulsory contributions from employment and self-employment count, as do child-raising up to the child's tenth birthday, unpaid care, military and civilian service, and periods with unemployment benefit (Arbeitslosengeld) – except in the last two years before retirement, unless the employer became insolvent or closed down. School, university and citizen's income (Bürgergeld) do not count. Your insurance record shows which periods are stored for you.
Accept a deduction or work longer?
A deduction applies for life: retiring two years early means 7.2% less pension permanently, plus two fewer years of earnings points. The calculator shows both paths side by side – an earlier start with a deduction or a later one without – and what the reform proposal would change.
Legal basis and sources
Frequently asked questions
Has retirement at 63 been abolished already?
No. As of September 2026 there are only the commission's recommendations and a declaration of intent by the coalition, but no law. The calculator therefore shows the reform scenario separately and marks it as "under discussion".
When can I retire if I was born in 1964?
The standard retirement age is 67 years. After 45 insurance years you can retire without a deduction at 65 years; after 35 years at 63 at the earliest, with a deduction of 14.4%. The same applies to everyone born later; see the table.
When can I retire if I was born in 1963?
The standard retirement age is 66 years and 10 months, or 64 years and 10 months without a deduction after 45 years. After 35 years you can retire at 63 with a deduction of 13.8%; see the table.
How large would my deduction be?
0.3% for each month you retire before the standard age – 7.2% for two years, permanently.
Does unemployment count towards the 45 years?
Periods with unemployment benefit (Arbeitslosengeld) count, except in the last two years before retirement – unless the unemployment is due to the employer's insolvency or closure. Periods with citizen's income (Bürgergeld) do not count.
What happens if the reform comes shortly before I retire?
That is open: the commission has not set transitional rules. In the calculator you can set the year from which the reform applies and see at once whether and how your retirement date and net pension would change.