How much are allowances and special expenses for Riester?
Those who pay a minimum annual contribution into their Riester contract receive the full bonuses. The amount of the bonuses and tax benefits depends on the following factors:
| Type of bonus |
Amount of bonus |
Requirements |
| Basic bonus |
175 Euro (from 2018, until 2017: 154 Euro) |
Full entitlement if the minimum personal contribution (4% of gross annual income) is met. |
| Child bonus |
185 Euro (children born before 2008)
300 Euro (children born from 2008) |
Child benefit entitlement required. Bonus is automatically assigned to the mother but can be transferred to the father upon request. |
| Special expenses deduction |
Maximum 2.100 Euro per year |
Personal contributions and bonuses count as eligible expenses. The deduction is made as part of the income tax return. |
Example:
A couple with two children (born 2010 and 2007) receives the following bonuses in 2018:
- Basic bonus spouse 1: 175 Euro
- Basic bonus spouse 2: 175 Euro
- Child bonus (born 2010): 300 Euro
- Child bonus (born 2007): 185 Euro
- Total: 835 Euro
The minimum personal contribution (4% of gross income) is reduced by the bonuses, so the remaining savings amount is lower.
Tax benefits:
- The special expenses deduction applies to bonuses and personal contributions.
- Even if no bonus is applied for, the bonus entitlement is considered in the favourable assessment.
- It is not possible to exclude the bonus and instead use only the tax advantage.
Conclusion: The Riester bonuses and special expenses deduction make retirement provision particularly attractive. To take full advantage, the minimum personal contribution should be made and the bonuses applied for.
Rechner
- Förderrechner Riester-Rente: Mit dem Riester-Rechner können Sie Ihre persönlichen Daten zur Riester-Rente berechnen. Der Rechner ermittelt wie hoch die verschiedenen Zulagen ausfallen und welche Höchstgrenzen für Sie relevant sind.
