Civil servant pension vs. statutory pension

Civil servants' pensions (Beamtenpension) and the statutory pension are two completely different systems in Germany – with dramatic differences in the amount.

The figures:

• Average civil servant pension: approx. €3,200 gross/month
• Average statutory pension: approx. €1,500 gross/month (men: ~€1,700, women: ~€1,100)
• Difference: civil servants receive twice as much on average

Why the difference is so big:

Civil servants' pension (provision system):

• No own contributions: civil servants pay NOTHING into pension insurance
• Pension rate: up to 71.75% of the last gross salary (after 40 years of service)
• Calculation: based on the LAST salary (highest grade!)
• Financing: entirely from tax revenue (pay-as-you-go by the state)

Statutory pension (pension insurance):

• 18.6% contribution (9.3% each employee/employer) over your whole working life
• Pension level: approx. 48% of average income
• Calculation: based on the AVERAGE of all contribution years (not the last salary!)

Political debate:

• "Why don't civil servants pay into the pension fund?" – one of the oldest debates in social policy
• Pension spending: the federal and state governments spend over 80 billion euros a year on civil servants' pensions – rising sharply