Pensions: Rürup pension
"You write very often about the benefits of the Riester pension with their state allowances, but these government allowances are only for employees and civil servants, could not you give some pointers on what self-employed people can do for pensions?"
Because I have such letters has been getting more often lately, it is today for the protection of the self-employed - and of course, primarily offers the Rürup pension. It is also called the basic pension, and it has existed since the entry into force of the 2005 Retirement Income Act. The name comes from its inventor, pension expert Bert Rürup. The pension is subsidized by the state, but the support here is different from that of the Riester pension: There are state subsidies for her, and a high tax subsidy for the Rürup pension. But because there is nothing in vain in this world, Rürup contracts have some peculiarities similar to those of the statutory pension insurance (see box). Because of course, the state wants to make sure that the assets accumulated in a Rürup contract are actually invested in a lifelong pension.
Incidentally, later payments from a Rürup pension are treated in the same way as pensions from statutory pension insurance: If you retire in 2008, 56 percent of your pension will be taxed until the end of your life. This percentage increases by two per year for all newly arrived retirees by 2020, and then by one percentage point later. Before you lose your appetite now, because so many conditions are linked to the Rürup pension, take a look at the special benefits: In 2008, 66 percent of the contributions paid in annually (maximum 20000 euros, married 40000 euros) as special expenses be made. The deductible amount increases annually by two percentage points. From 2025, the tax office accepts then one hundred percent of the paid contributions as special expenses. In order for the Rürup pension to be really worth your while for tax purposes, you should make good money during the savings period. And you should have a lower income in your later retirement than during your employment.
Another plus: The Rürup pension is very flexible during the accumulation period. There is no prescribed minimum contribution. Depending on the financial situation, you decide yourself how much you want to invest. This is a decisive advantage, especially for self-employed people who often do not know until the end of the year how much they can cover for retirement provision. Depending on the course of business, you can then decide year on year how much you want to invest in the Rürup pension. It is possible, for example, to make a one-time high contribution once a year. Or you save a fixed monthly amount and accumulate it with an annual special payment.
But even if the business does not go so well, the Rürup pension is worth considering. Because the capital that you pay into a Rürup pension is not included in the insolvency estate in the event of bankruptcy. Even in need (Hartz IV) the Rürup assets are protected from access by the state. It is also not used if your own parents are in need of care and you have to pay as a child support. However, there must be no direct temporal connection between the conclusion of a Rürup pension and the need of the parents.
The aforementioned restrictions on the Rürup pension disturb you anyway? You can not really use the tax benefits? Then you have the wide range of "normal" annuity policies at your disposal: you can choose between classic or unit-linked annuity insurance here, as well as the Rürup annuity, or you can choose the British one on an equity basis. But with the normal variants, the savings can be inherited, and you can choose at the end of the term between capital and life annuity payment. If you decide to pay in the case as a pension, it will be taxed only slightly.
My urgent advice: Which model and which insurance company is suitable for you in your particular situation should result in qualified advice. It's about your protection, because the individual components must be correct. You can get addresses of independent financial consultants at, for example, www.finanzfachfrauen.de.
