From July 1st, pension payments will increase by a large percentage. Some pensioners can look forward to the increased amount earlier.
Frankfurt – Millions of pensioners can look forward to a significant pension increase from July 2022. As a result, all recipients in the new federal states, i.e. Brandenburg, Mecklenburg-Western Pomerania, Saxony, Saxony-Anhalt and Thuringia, receive 6.12 percent more money. In the old federal states, on the other hand, there is a smaller increase, namely by 5.35 percent, as the German pension insurance writes on its website.
How much money that is exactly depends on the amount of your pension. For example, someone who has previously received a pension of EUR 1,000 will receive EUR 1,053.50 or EUR 1,061.20 from July. Between June 10th and the end of July, the Renten Service will inform everyone personally about the increase. This so-called pension adjustment notification states individually by how much the amount will increase and when it will be paid out for the first time. This payment does not take place for everyone at the same time, which is why some have to wait longer than others.
Higher pension payments arrive with a time delay: why is that?
There are two different dates for the first payment of the new pension amount. Some pensioners will already receive the new amount as an advance, which means they will already receive it at the end of the previous month. All those affected will therefore receive the adjusted amount on June 30, 2022. The remaining pensioners always receive their payment as an additional payment and thus the first higher payment on July 31, 2022, as a press spokesman for the German pension insurance confirmed to our editorial team.
The reason for these two different payment dates is the Agenda 2010 reform package by ex-Chancellor Gerhard Schröder from 2003. Since the government debt was rising at the time and the social security funds were becoming empty, the original model was changed. Previously, it was common for all pensioners to get their money in the previous month, as reported by Mitteldeutscher Rundfunk. However, the payment was then postponed and has been paid at the end of the month since April 2004. Anyone who retired before March 2004 will receive an advance payment today. Those who retired from April 2004 will not receive the payment until the end of the month. (fh)
