Am I entitled to the Riester bonus for every private pension plan?
No. You cannot receive Riester funding for every private pension plan. Only pension contracts certified by the Federal Insurance Supervisory Office are eligible for funding. The following conditions apply for certification:
- Start of pension: Payments may begin no earlier than the age of 60 or the statutory retirement age. For contracts concluded from 1 January 2012, payments may not begin before the age of 62.
- Payment: Payments must be made as a constant or increasing pension; for new contracts, a lump sum of up to 30 per cent is also possible. From the age of 85, a lifelong pension guarantee must be in place.
- Contribution guarantee: At the start of the pension phase, at least the contributions paid plus bonuses must be available.
- Distribution of costs: For contracts concluded from 2005, the initial costs must be spread evenly over at least five years. For older contracts, a limit of ten years applies.
- Non-transferable: A Riester contract cannot be assigned or transferred to others.
- Security: The accumulated capital may not be seized or pledged.
- Transparency: Providers must inform savers annually about the deducted initial, distribution, and administration costs. Costs associated with changing contracts must also be disclosed.
- Unisex tariffs: Women and men pay the same contribution for newly concluded contracts.
These certification criteria only indicate which pension contracts can be funded. However, certification is not a seal of quality for a Riester contract.
