Current for 2026•As of: July 2026

Early Retirement Calculator Pension Deduction for Early Retirement.

Calculate the deduction for retiring before the standard retirement age from the German statutory pension, plus the deduction-free "pension at 63" for particularly long-insured individuals

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Early Retirement Calculator

Calculate the deduction for retiring before the standard retirement age — as of 2026.

60 years70 years

Personal details

1950 2005

The standard retirement age is determined from your birth year under § 235 (2) SGB VI.

Contribution years

years
0 years50 years
EUR
200 EUR4,000 EUR

Two routes into early retirement

  • From 35 contribution years: retirement from 63 possible, with a deduction of 0.3%/month (max. 14.4%).
  • From 45 contribution years ("pension at 63"): deduction-free from a staggered age limit (63–65, depending on birth cohort).

Your pension after deduction

€1,284.00

14.4 % deduction (permanent)

Standard retirement age

67 years

Months before standard retirement age

48

Deduction

14.4 %

Deduction (monthly)− €216.00
Deduction (yearly)− €2,592.00

The deduction of 14.4 % is permanent (for life) and is not offset by future pension adjustments.

Important note

These calculations are for non-binding information only and do not replace professional tax advice. All information without guarantee. Learn more

Sources & calculation basis

Our calculations are based on the following official sources (as of: July 2026):

Early retirement in Germany 2026: what does retiring early cost?

Anyone drawing their German statutory pension before the standard retirement age must expect a permanent deduction of 0.3% per month (§ 77 (2) no. 2, Book VI of the German Social Code – SGB VI). For a maximum of 4 years (48 months) of early retirement, that adds up to up to 14.4% less pension — for life.

An important exception applies to particularly long-insured individuals with at least 45 contribution years: they can retire without any deduction — commonly known as the "pension at 63". The actual age limit is staggered by birth cohort and, for most people in work today, is well above 63.

The two routes into early retirement

With deduction from 63 (35 contribution years)
Pension for long-insured individuals (§ 36 SGB VI): earliest possible retirement at 63, with a deduction of 0.3%/month before the standard retirement age.
Deduction-free ("pension at 63", 45 contribution years)
Pension for particularly long-insured individuals (§ 236b SGB VI): deduction-free from a staggered age limit between 63 and 65, depending on birth cohort.

Example calculation: deduction for 4 years of early retirement

Birth cohort 1964 (standard retirement age 67), retirement at 63

Birth cohort 1964 (standard retirement age 67), retirement at 63
ItemAmount
Months before standard retirement age48 months (4 years)
Deduction per month0.3%
Total deduction14.4%
Gross pension without deduction€1,500.00
Deduction (14.4%)− €216.00
Pension after deduction€1,284.00

What affects the deduction

  1. Birth cohort: Determines your standard retirement age (65–67, staggered under § 235 (2) SGB VI) and therefore the maximum period of early retirement.
  2. Contribution years: From 35 years, early retirement from 63 is possible with a deduction; from 45 years, it may be deduction-free.
  3. Desired retirement age: The earlier you retire before the standard retirement age, the higher the deduction — up to a maximum of 14.4%.

Standard retirement age by birth cohort

The standard retirement age has been gradually raised from 65 to 67 since 2012 (§ 235 (2) SGB VI). For birth cohorts from 1964 onward, the full increase to 67 already applies.

Born in 1958
Standard retirement age: 66
Born in 1961
Standard retirement age: 66 years, 6 months
Born in 1964+
Standard retirement age: 67

A note on the current pension reform debate

The pension commission set up by the German federal government presented proposals for pension reform in June 2026, including the abolition of the deduction-free pension for particularly long-insured individuals. So far, this is only a proposal, not enacted law. This calculator reflects only the current legal position and will be updated if the law actually changes.

Note: This calculation is for non-binding information purposes only and does not replace professional pension advice. For binding advice, please contact the German Statutory Pension Insurance (Deutsche Rentenversicherung).

Frequently asked questions about early retirement

Deduction, standard retirement age and the "pension at 63" in detail

The deduction is 0.3% per month you retire before the standard retirement age (§ 77 (2) no. 2 SGB VI) — that is 3.6% per year. The maximum deduction is 14.4%, reached after 48 months (4 years) of early retirement. The deduction is permanent and applies for the entire time you receive the pension.

The "pension at 63" is the colloquial name for the pension for particularly long-insured individuals (§ 236b SGB VI). Anyone with at least 45 contribution years may retire without a deduction — though not necessarily at 63 anymore: the age limit rises in stages from 63 (birth cohorts before 1953) to 65 (birth cohort 1964 and later).

With at least 35 contribution years, you can retire at the earliest at 63 (pension for long-insured individuals, § 36 SGB VI) — but with a deduction. Without 35 contribution years, early retirement is not possible; the pension can then only start once you reach the standard retirement age.

The deduction is permanent (for life) and is not offset by later regular pension adjustments — it reduces your pension by the percentage set once, for the entire time you receive it.

Yes, from age 50 you can make voluntary top-up payments to the German Statutory Pension Insurance to fully or partially offset the deduction. The German Statutory Pension Insurance provides non-binding information on this.

The pension commission set up by the German federal government recommended in June 2026, among other things, abolishing the deduction-free pension for particularly long-insured individuals. So far (as of July 2026) this is only a proposal and not enacted law — this calculator reflects only the current legal position.

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