Active pension 2026: Pensioners work more – strong differences between genders!

Active pension 2026: Pensioners work more – strong differences between genders!

The German labor market is struggling with a remarkable trend: more and more pensioners are willing to continue to work actively. Current data shows that already one in eight pensioners those aged 65 and over are employed, which corresponds to a share of 13 percent. Men in particular, at 16 percent, are more likely to be found in the world of work than women, whose share is only 10 percent. These new figures come at a time when the Merz government is planning to introduce aActive pensionplans to create further incentives for seniors to work longer.

The Active pension is set to come into force in 2026 and enable pensioners to earn up to 2,000 euros per month tax-free. This regulation applies to old-age pensioners who are subject to social insurance contributions, with a total allowance of 24,000 euros per year being set for income from employment. Social security contributions still have to be paid, but interesting tax breaks could enable pensioners to make more use of their additional income.

More factual details

A closer look at working pensioners reveals an interesting connection between educational level and employment. Around 18 percent of retirees with a high level of education are actively working, while only 11 percent of those with a medium level of education and 10 percent of those with low qualifications. Another fact: 50 percent of working pensioners are marginally employed, while 71 percent are employed and 29 percent are self-employed.

The popularity of part-time work is also reflected in the number of hours worked: 39 percent of pensioners work less than 10 hours per week. In addition, 26 percent work between 10 and 20 hours, 12 percent between 20 and 30 hours and 9 percent between 30 and 40 hours per week. Surprisingly, 14 percent even work more than 40 hours per week, although this trend is more common among the self-employed, while only 8 percent of employees reach this number of hours.

Criticism and opportunities

This survey does not come without criticism. The German Institute for Economic Research warns of possible “windfall effects”, whereby it is expected that the introduction of active pensions could initially lead to reduced income of up to 770 million euros. However, the general manager of the Association of German Chambers of Industry and Commerce, Achim Dercks, supports the goal of keeping older workers in the labor market for longer. This could be particularly important in sectors with a shortage of skilled workers – such as care, education or skilled trades.

However, there are concerns that not all employers are willing to employ older workers and that there is unequal treatment between employees and the self-employed. Solo self-employed craftsmen and farmers in particular are excluded from the benefits, which is further fueling the discussion about pension policy reform.

It remains to be seen whether active pensions will have the desired effect and promote positive economic development. What is certain is that the dialogue about the retirement age and the general conditions for employees in old age will remain relevant - there is definitely still something in the air!