GroKo agrees on basic pension: The details of the agreement at a glance – Politics

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The coalition has settled its dispute over the basic pension. After long negotiations, they broke through a thick knot and found a solution acceptable to the CDU, said CDU chief Annegret Kramp-Karrenbauer on Sunday in Berlin after the agreement of the coalition committee on rules for a ground rent.

Kramp-Karrenbauer called the compromise in the dispute over the basic pension as an important contribution in the fight against old-age poverty.


SPD speaks of "social policy milestone"

Access to the new system will get the one who has a need, said Kramp-Karrenbauer. This need is ensured by a comprehensive income test. "It's a good, a justifiable result," she said. She will present the compromise on Monday to the CDU committees for decision.

SPD interim chairman Malu Dreyer spoke of a "social policy milestone."

An estimated 1.5 million retirees should benefit from the basic pension. Markus SOder pointed out that it had managed to cover the cost of the basic pension to less than two billion euros. He called for stopping the debates about a possible end to the GroKo.

The cornerstones of the basic pension at a glance:

  • From January 2021 onwards, low-income earners with 35 years of contributions in particular will receive a pension supplement above the basic security.
  • The income test enforced by the CDU is to be carried out by Deutsche Rentenversicherung in cooperation with the tax authorities.
  • The income limit should be for singles 1,250 euros, for couples, it should be 1,950 euros.
  • The financing will be largely financed by a planned financial transaction tax and the Federal Ministry of Labor.
  • In addition, a budget for allowances for housing subsidies of 80 million euros will be provided. So you want to prevent the increased pension eats the need for housing money.

In addition to the compromise on the basic pension, the GroKo approved that unemployment insurance contributions for a limited period by 0.2 percent are lowered. In addition, a funded future fund for up to 10 billion euros will be provided.

It is the third attempt for such a minimum pension in three legislative periods. Federal Labor Minister Hubertus Heil (SPD) had already presented a first proposal in February. Another socialist push in May said that up to three million retirees could benefit, 80 percent of whom were women. According to Malu Dreyer, the basic rent will reach between 1.2 and 1.5 million citizens.

The basic pension was agreed in the coalition agreement and was originally intended for a property audit. There had been controversy over that for months. Originally, an agreement was to be adopted just under a week ago. However, under pressure from the CDU, the deliberations in the coalition committee were postponed, and reservations were made against a solution that had previously been prepared by specialist politicians. (Dpa / AFP, Tsp)



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