Pension insurance coverage: problem lower than anticipated – 2024-06-22 07:59:58

by times news cr

2024-06-22 07:59:58

Is the pension safe? This query is inflicting dialogue, particularly amongst youthful generations. The president of the German pension insurance coverage firm doesn’t see it as a serious drawback – they’re effectively positioned.

The query of pension safety for youthful generations is usually the topic of debate in politics and society – the President of the German Pension Insurance coverage, nonetheless, believes the challenges will be met. “The problem is smaller than beforehand predicted,” stated Gundula Roßbach to the “Frankfurter Allgemeine Sonntagszeitung”.

“Total, we count on that the rise within the old-age dependency ratio, i.e. the ratio of employed individuals to pensioners, won’t be higher within the coming years than within the years 1990 to 2010. The pension insurance coverage system has coped effectively with this transformation and has additionally shouldered the extra monetary necessities in reference to reunification.” And for the reason that starting of the 2000s, contribution charges have additionally remained secure.

Immigration into the labor market was increased than anticipated, so extra individuals are paying into the pension insurance coverage system, Roßbach continued. As well as, life expectancy is now not growing as a lot as earlier than. Pension funds are due to this fact prone to be prolonged much less. “We’re effectively positioned.”

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