What is the proportion of the labour force insured under statutory pension insurance schemes? The labour force comprises all people working or looking for a job, that is persons in employment and unemployed. Pension entitlements of people not looking for work are not included.
In Germany, in 2022 all employees below the contribution assessment ceiling pay 18.6% of their gross income as a contribution to the statutory pension insurance scheme. Half of that amount is paid by the employer. In 2022 the assessment ceiling was a monthly income of Euro 7,050 in the old Länder and of Euro 6,750 in the new Länder. For registered unemployed, too, the employment agency pays a pension contribution leading to pension entitlements. Self-employed may voluntarily insure themselves under a statutory pension insurance scheme. The amount of the contributions and the period over which they are paid will later determine the old-age pension.
Until the end of 2011, people were entitled to a pension without any deductions after the age of 65. Since 2012, the retirement age has started to be gradually raised to 67 years.
All people aged between 15 and 64 who do not receive pension payments yet were asked if they are insured on a voluntary or compulsory basis.
A large percentage of the labour force has a pension insurance
In 2022, 87.1% of the labour force in Germany was insured under a statutory pension insurance scheme. In 2022, the majority of people insured were insured under a statutory pension insurance scheme on a compulsory basis (83.3%), while 3.8% were insured on a voluntary basis.
However, those rates underestimate the extent of social security after retirement because pension entitlements of public officials are not included here. People making old-age provisions only on a private basis were not included either.
The indicator does not provide any information on the level of the pensions the people insured are entitled to or on whether those entitlements are sufficient for the needs at old age.
Low contributions or many interruptions in paying the contributions may later result in relatively low statutory pensions. Therefore company and private old-age pension schemes are getting more and more important for old age.
| Sex | Insured under statutory pension insurance schemes on | ||
|---|---|---|---|
| compulsory basis | voluntary basis | compulsory or on voluntary basis | |
| Source: Microcensus. | |||
| 2022 | |||
| Female | 84.2 | 3.4 | 87.5 |
| Male | 82.5 | 4.3 | 86.8 |
| Total | 83.3 | 3.8 | 87.1 |
| 2012 | |||
| Female | 78.5 | 3.0 | 81.4 |
| Male | 76.0 | 4.1 | 80.2 |
| Total | 77.2 | 3.6 | 80.8 |
12.8% not insured under statutory pension insurance schemes
Persons who are not insured under statutory pension insurance schemes are either officials or other persons in employment being uninsured or insured on a private basis.
Actually, 34.1% of those not insured are self-employed persons and another 30.9% are officials. However, one fifth of this group of not persons not insured under statutory pension insurance schemes are employees (22.4%). Presumably, these are mainly persons in marginal employment. Further 11.8% are unemployed persons.
Information on the Indicator
Description or definition
Percentage of labour force (between 15 and 64 years) who are members in statutory pension insurance and do not receive pension payments yet in total labour force (between 15 and 64 years).
Source
Microcensus
Information for interpretation
Comparability over time is partially limited due to changes in questions concerning the statutory pension insurance.
In the last few years, the methodology of the Microcensus has been continuously improved in terms of employment status coverage. Therefore comparisons over time are partly limited. Methodological changes affecting the results were performed especially in 2005 and, more currently, for the years from 2011. Consequently, the results for those years can be compared with the results for previous years to a limited extent only.
The microcensus with the integrated European labour force survey has been redesigned in 2020. The list of questions and the concept of the sample survey were modified, and with the introduction of an online questionnaire, the form of data collection were also changed. The results from survey year 2020 onward are therefore comparable with those of previous years only to a limited extent.
Further methodological changes affecting the results were performed in 2005, 2011 and 2021. Consequently, the results for those years can be compared with the results for previous years to a limited extent only.
The extrapolation of microcensus data uses the population figures from the 2011 Census, which was conducted as at 9 May 2011. The results have been revised from 2010 onwards. With effect from the year 2016, the sample is based on the 2011 census data. This transition affects the comparability of the results with previous years.
For more information please refer to Methods: Quality Reports and Explanations (only in German).
Further information
Redesigned microcensus as of 2020