Pension taxation for the widow's pension

Pension taxation has been fundamentally changed

• The 1st January 2005 brought fundamental changes to pension taxation. That wasn't just about them Retirement pension, but also the Widow's pension, private annuity insurance and life insurance.
• However, only pensions that began after December 31, 2004 or private pension contracts that were issued after December 31, 2004 were affected.
• The background is pension taxation. In 2005, 50 percent of the pension benefit was taxable, this rate increases by two percent annually until 2020, then until 2040 by one percent annually until one hundred percent taxation he follows.
• However, the taxable portion of the pension not every year for the individual. instead, the tax portion applies in the year of the start of the pension for the entire duration of benefits.
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• If your husband received a 2005 pension from 2005 and the widow's pension starts in 2012, you only have to pay 50 percent of the pension for the whole Tax annually for the duration of the benefit; if the man's retirement pension begins in 2012, your taxable portion is included 64 percent.


Paying out a widow's pension - you should bear this in mind

If, even though your partner has passed away, you still feel very fit in old age ...

Private widow's pension is taxed with a share of the income

• The background to the increasing pension taxation of the widow's pension is the increased deductibility of the contributions to the statutory one pension insurance, professional pension funds and the Rürup pension. Here, too, the deductible contributions increase in steps of two percent, starting in 2005 at 60 percent.
• You can also include a widow's pension with private pension insurance that is not subsidized for tax purposes. The pension taxation of private retirement provision takes place after the income share taxation.
• The income share of a pension results from the entry age of the beneficiary at the start of the pension. If you are 65 years of age when you retire, the earnings share is 18 percent. This means that if you have a pension of 100 euros, 18 euros are taxed at the personal tax rate.