Mothers pension is increased: five billion for our mothers!

Mothers pension is increased: five billion for our mothers!

In the current coalition agreement between the Union and the SPD, a controversial expansion of the mother's pension is announced, which is to benefit older mothers in particular. This reform is expected to cost around five billion euros. Cornelia Ries, a mother from Bruchsal, plans to make use of this regulation. After 40 years in which she took care of her children and the household, she is a small pension despite the long time of education. She currently receives about 800 euros maintenance and only around 420 euros gross mother's pension. According to the reform, your amount could increase by around 60 euros, which could be an important financial contribution in view of your situation. SWR reports .

The innovations affect not only mothers, but also fathers who raise children. The reform provides for the regulation "Mothers' Pension Three", which credits for three years of parenting or pension points for children born before 1992. A pension point corresponds to about 40 euros a month. The German pension insurance estimates the annual costs of this expansion to around 4.45 billion euros. Cornelia Ries receives support from the Social Association VDK, which welcomes the planned increase in the mother's pension.

additional challenges of the pension system

The discussion about the mother's pension takes place against the background of a general reform debate on retirement provision in Germany. Demographic change in Germany leads to long -term financing problems of statutory pension insurance. According to current statistics, almost 61% of pensioners receive less than 1200 euros net per month. It is particularly alarming that every third receives less than 750 euros net for single people. Many pensioners also rely on additional income, including company pensions or private provision. Deutschlandfunk informed .

The statutory pension insurance is financed by a levy procedure, whereby the current pensions are covered by contributions from the employed. Increasing life expectancy and falling birth rates increase the pressure on the pension system because there are fewer employees per pensioner. In addition, the foundation for the rights of future generations determines that inequality in the pension system is growing. Managing Director Jörg Tremmel mentions three possible approaches to solve the pension problem: the increase in contribution rates, a slower increase in pensions or the expansion of the federal subsidy.

political discussions and reform claims

The political actors are under pressure to find sustainable solutions. Claims for pension reforms, which also include civil servants and the self -employed, are loud. A dynamic model could raise the retirement age by 2042 to 68 years. Critics of the current regulations indicate the need to make jobs attractive for older workers. The holding lines in the coalition agreement, which should guarantee stabilization of the pension level by 2025, are difficult to implement in the context of these challenges. The federal government already pays around 100 billion euros as a grant to pension insurance, and forecasts indicate a drastic increase in poverty in old age, with many people interrupted. In this complex location, solutions are required that meet the requirements of both the current and future generations. The senators consistently demand solutions because the financial stability of the pension system is still in danger.