Germany's statutory pension is a points-based system: over your career you collect Entgeltpunkte (pension points), and at retirement they are converted into Euro using the current Rentenwert. Use our Pension Points Calculator to project your gross pension in seconds — based on gross salary, contribution years and the 2026 reference values from Deutsche Rentenversicherung.
The formula at a glance
The calculation follows three steps from §63, §64 and §70 SGB VI:
- Pension points per year = gross salary ÷ average wage
- Total points = sum of all contribution years (plus bonus points for child-rearing, care, military service, etc.)
- Monthly pension = total points × current pension value
The 2026 key figures
| Figure | Value 2026 | Source |
|---|---|---|
| Average wage (Durchschnittsentgelt) | 45,358 € / year | Annex 1 SGB VI |
| Pension value West (Rentenwert) | 39.32 € / point | §68 SGB VI, July decree |
| Contribution ceiling West (BBG) | 96,600 € / year | §159 SGB VI |
| Pension contribution rate | 18.6 % | §158 SGB VI |
| Maximum points per year | ≈ 2.13 | 96,600 / 45,358 |
Since July 2024, the Rentenwert is unified for East and West Germany. The 2026 numbers are projections — the final adjustment becomes law via the July decree.
Example: 1.0 pension points
Earning exactly 45,358 € gross for one year gives you 1.0 Entgeltpunkte. That's the definition of the average wage: 1 EP = one year as an average earner. After 45 contribution years at average wage you get 45 EP × 39.32 € = 1,769.40 € gross monthly pension — the famous "Eckrentner".
Higher salary → more pension points
| Gross salary | EP per year | EP after 30 years | Monthly pension |
|---|---|---|---|
| 30,000 € | 0.66 | 19.8 | 779 € |
| 45,358 € (average) | 1.00 | 30.0 | 1,180 € |
| 60,000 € | 1.32 | 39.7 | 1,561 € |
| 90,000 € | 1.98 | 59.5 | 2,341 € |
| 96,600 € (ceiling) | 2.13 | 63.9 | 2,512 € |
| 150,000 € | 2.13 (cap) | 63.9 | 2,512 € |
Income above 96,600 € earns no additional points. High earners are capped in the statutory system — anything beyond the BBG must be covered privately, e.g. via a Rürup pension or an ETF savings plan.
What counts — and what doesn't?
Entgeltpunkte aren't only earned through salary. Notable bonus periods:
- Child-rearing — 3 years × 1 EP per child (births from 1992 onwards) = 3 EP per child
- Care of relatives — up to 1 EP per year, scaled by care level
- Unemployment benefit — contributions are paid by the Bundesagentur (see unemployment benefit calculator)
- Sick pay, parental allowance — partially counted
- Self-employment — only via voluntary or mandatory insurance (artists, craftsmen)
- Mini-job — flat-rate contributions yield very small EP, opt-in for full EP available (mini-job calculator)
Are 45 pension points realistic?
The 45-EP "Eckrentner" is a model figure — actual average pensions are much lower. Western men: ~1,450 € / month, women: ~950 € (2025 stock). Why?
- Part-time work, child-rearing, care responsibilities — fewer contribution years
- Low-wage sector — < 1 EP per year
- Gaps from study, abroad, self-employment
- Early retirement deductions (see Early Retirement Calculator)
Use the Retirement Gap Calculator to see how much your projected pension misses your target lifestyle, and the Savings Plan Calculator to plan how much to save privately.
The Rentenwert is dynamic, not fixed
Important: 39.32 € is today's pension value. It is adjusted on 1 July each year, usually upward, tracking wage growth (§68 SGB VI). Historically it rose from 26.13 € (1992) to over 39 € (2025). Someone retiring in 30 years will probably see a higher pension value — but inflation also eats real purchasing power. See our Inflation Explained article or the Inflation Calculator.
Taxes and contributions on pension income
Beware — gross pension is not what lands in your bank account:
- Health insurance: ~8.1 % (KVdR) — see Social Security Calculator
- Long-term care insurance: 3.4 % (4.0 % for childless) — care insurance calculator
- Income tax: 88 % of pension income is taxable for new retirees in 2026 (cohort-based, 100 % from 2058)
Out of 1,770 € gross pension, often only ~1,500 € actually arrive net. Use the Income Tax Calculator to model the tax effect.
Common mistakes
- Confusing Rentenwert with hourly wage — 39.32 € is per pension point, not per hour or month
- Ignoring the BBG — 150,000 € gross does not give 3.3 EP, only 2.13
- Forgetting child-rearing points — 3 EP per child are added automatically (births from 1992)
- Not checking the Renteninformation — review your statement annually, report gaps immediately
- No private plan — relying on 1,180 € pension at average wage is too risky
How to top up your pension
- Compensation payment §187a SGB VI — offsets early-retirement deductions, fully tax-deductible (see Early Retirement Calculator)
- Voluntary contributions — possible from age 50; 1 EP costs roughly 8,500–9,000 € in 2026
- Rürup pension — state-subsidised private base pension, fully tax-deductible (Rürup calculator)
- Riester pension — government bonus, especially attractive for families (Riester calculator)
- ETF savings plan — flexible, often higher long-term returns (Savings Plan Calculator)
- FIRE strategy — financial independence outside the statutory system (FIRE Calculator)
More useful calculators
- Pension Points Calculator — Entgeltpunkte and projected pension
- Retirement Gap Calculator — what's missing at retirement?
- Early Retirement Calculator — deductions and compensation
- Rürup Pension Calculator — base pension and tax savings
- Riester Pension Calculator — bonuses and tax breaks
- Social Security Calculator — all contributions in one view
- Savings Plan Calculator — private retirement saving
- FIRE Calculator — financial independence