Retirement investment account (Altersvorsorgedepot)

The Altersvorsorgedepot (retirement savings depot) is the new state-subsidised retirement product in Germany that replaces the failed Riester pension – passed by the Bundestag on 27 March 2026.

The most important changes compared with Riester:

• No more contribution guarantee: this means 100% can be invested in shares/ETFs
• Higher subsidy: up to €3,000 per year (instead of the €175 Riester allowance)
• Free choice of product: ETFs, shares, funds – not just expensive insurance products
• Start: 1 January 2027

Subsidy model:

• Basic allowance: 20% on your own payments up to €3,000/year = up to €600 allowance
• Child allowance: 25% on payments up to €1,200 per child = up to €300 per child
• Career starter bonus: €200 extra in the first 3 years
• OR: tax deduction as special expenses (whichever is more favourable)

Why this is a game changer:

• Riester problem: the contribution guarantee forced providers into safe, low-yield bonds
• Retirement savings depot: no guarantee = 100% equity allocation possible
• Return difference: historically ~4–5% more return per year with shares instead of guaranteed products
• Over 30 years: €100/month turns into ~€120,000 instead of ~€50,000

What happens to old Riester contracts?

• Existing Riester contracts continue (or can be transferred)
• Transfer into the new retirement savings depot will be possible