Pension gap calculator for people working in Germany
Enter your current net pay, the share of it you want in retirement and your expected gross German pension: the calculator shows the monthly gap and the capital that covers it.
Worked through by Radif Partners · Editorial policy · How we calculate
Monthly pension gap
€618
capital needed €131,947
| Target net | €2,080 |
|---|---|
| Net pension | €1,462 |
| Gap a year | €7,418 |
| Capital needed | €131,947 |
Step-by-step calculation
- Need: 80% of €2,600 = €2,080 net a month.
- A gross pension of €1,700 gives €1,462 net (health, care contributions and tax, starting 2026, single).
- Gap €618 a month. Capital that closes it for 22 years at 2.0% interest: €131,947.
- In today’s euros, ignoring inflation and tax on withdrawals.
Estimate under SGB VI and the Income Tax Act as of October 2026, not advice. Only your pension decision letter is binding. How we calculate
Your pension gap (Rentenlücke) is the difference between the net income you will need in retirement and the net German statutory pension that actually reaches your account. The calculator works out both sides separately. Your need is a share of today’s net pay; your pension goes in gross, and the tool deducts health and long-term care contributions plus estimated income tax under the 2026 schedule, assuming the pension starts in 2026 and you are single with children. Earning €2,600 net today and needing 80% of it means a target of €2,080. A gross pension of €1,700 leaves €1,462 net, so €618 is missing every month, €7,418 a year. Over 22 years of retirement a pot of €131,947 closes that gap if the remainder earns 2% interest; with no interest you would need €163,205. All amounts are in today’s euros.
What the calculator does with your five inputs
First your need: net pay times the share you choose. Then the pension: your expected gross German pension minus half the general health rate and half the average extra rate (section 249a SGB V), minus long-term care at 3.6 %, which pensioners pay alone (section 59 SGB XI), and minus income tax on the taxable share for a pension starting in 2026 (section 22 Income Tax Act, schedule under section 32a). The difference is the monthly gap. Last, the capital: the present value of that gap over your years in retirement, with the unspent balance earning the interest rate you enter.
Worked examples
| Net pay today | Need | Gross pension | Net pension | Monthly gap | Years, interest | Capital |
|---|---|---|---|---|---|---|
| €2,600 | €2,080 | €1,700 | €1,462 | €618 | 22 / 2 % | €131,947 |
| €2,000 | €1,700 | €1,300 | €1,139 | €561 | 20 / 2 % | €110,806 |
| €3,200 | €2,400 | €1,900 | €1,609 | €791 | 25 / 2 % | €186,578 |
| €4,000 | €2,800 | €2,400 | €1,962 | €838 | 22 / 3 % | €161,726 |
The length of retirement matters a lot: in the first example, 18 years instead of 22 cuts the capital needed to €112,060. Planning for too short a retirement leaves you short if you live long.
Where the gross pension figure comes from
This tool does not calculate the pension itself; you supply it. The best source is the projection in your annual statement (Renteninformation), and the guide to the pension statement shows which line to use. Without one, the German pension calculator estimates the gross amount from your pension points: points times the pension value, €42.52 since July 2026 (German Pension Insurance, formula in section 64 SGB VI). If you plan to retire early, enter the reduced amount, as the reduction lasts for life and widens the gap permanently.
Limits of the calculation
The calculator handles one statutory pension and assumes you are taxed as a single person. Company pensions, rent or a pension from another country are easiest to deduct from your need beforehand. Married couples are taxed jointly; the gross to net calculator shows the exact deduction. Inflation, tax on investment income and fund charges are left out. Working on past the standard retirement age narrows the gap through wages and new points; see working while drawing a pension. The result is not personal advice; the pension insurer’s information and advice centres (Auskunfts- und Beratungsstellen) offer that free of charge.