← Retirement planning · Riester & bAV
Second pillar · Subsidised supplementary provision
Retirement provision that others help pay for.
The second pillar is subsidised directly, either through state allowances with the Riester-Rente (state-subsidised private pension) or through your employer with the occupational pension (bAV). This way you build an extra pension with only a small cost of your own.
What the second pillar covers
Two paths, one goal.
Subsidised supplementary provision has two main paths. Which one fits better depends on whether you have children and whether you are employed. Often they complement each other.
Riester-Rente
Allowances, above all for families
- Funding
- Base allowance of 175 € a year, plus 300 € per child (born in 2008 or later), plus a possible tax advantage.
- For whom
- Employees subject to social insurance, especially families and low earners.
- Extra
- The balance can also be used for your own home (Wohn-Riester).
Occupational pension (bAV)
Save through your employer
- Funding
- Contribution straight from your gross pay, free of tax and social contributions, plus a 15 % mandatory employer top-up.
- For whom
- Employees with an employer, from trainee to executive.
- Extra
- Portable when you change jobs, and can be paused in financial tight spots.
The solutions
Strongly subsidised, with Generali.
Riester · Strategie Plus
Riesterrente Strategie Plus
A fund-linked Riester-Rente with a 100 % contribution guarantee at retirement. You collect allowances and tax advantages and still invest for opportunity.
- Base and child allowances plus a possible tax advantage
- 100 % of your contributions guaranteed at retirement
- A slider between security and return potential
- Can also be used for your own home (Wohn-Riester)
Ideal for: families with children and employees entitled to allowances.
More on the Riester-Rente →bAV · Direktversicherung
bAV Strategie Plus
The occupational pension set up as direct insurance (Direktversicherung). You convert part of your gross salary, and the state and your employer add to it.
- Contribution from your gross pay, free of tax and social contributions
- 15 % mandatory employer top-up
- Small net cost, large gross contribution
- Portable when you change jobs, with the option to insure your ability to work
Ideal for: employees with an employer, and business owners providing for their team.
More on the company pension →Frequently asked questions
Good to know.
Riester or bAV: which is better for me?
If you have children, the Riester allowances are often unbeatable. If you are employed, the bAV is very attractive thanks to the gross-pay saving and the employer top-up. A combination frequently pays off, and that is exactly what we look at together. If you are self-employed, the Basisrente is usually the stronger lever; if you need full flexibility, it is worth looking at the private pension.
How high are the Riester allowances?
The base allowance is 175 € a year. For each child born in 2008 or later, another 300 € is added (185 € for children born earlier). Young people under 25 receive a one-off 200 € career-starter bonus. The condition is a minimum own contribution.
What is the 15 % employer top-up?
When you convert salary into a bAV, your employer saves on social contributions. Under current law they must pass on at least 15 % of that to your contract as a top-up, in addition to your own contribution.
Are the pensions taxed?
Yes, on a deferred basis: during the saving phase you save on tax and contributions, and in retirement the pension is taxed, usually at a lower tax rate. With the bAV, contributions to health and long-term care insurance may apply when you draw your pension.
Free & non-binding
Claim what you are entitled to.
In our first meeting we check which allowances and top-ups you are entitled to and how to make the most of them, with Riester, with the bAV or in combination. Honest, easy to understand and without pressure.