Navigating Survivor's Pensions in Germany: What You Need to Know
Remarriage Termination of Widow's Pension: Consequences and Alternatives Upon Remarriage. - When Remarriage Occurs, Pension Benefits for Widows cease - What Happens Next?
In dreadful times of losing a spouse, the last thing you want to worry about is finances. But let's face it, life goes on, and so do bills. The German Pension Insurance offers survivor's pensions, known as the "Widow's Pension," to help you out. Here's a straightforward guide to the rules and regulations.
When Remarriage Happens
When you find love again, you'll want to shout it from the rooftops. But first, make sure to inform the German Pension Insurance (DRV). You see, your widow's pension will be paid out as a lump sum over 24 months. This automagically happens once you've given the lowdown on your nuptials.
Another important thing to note: If the new spouse kicks the bucket, you're entitled to receive another widow's pension, based on the pension entitlement of your deceased partner. The length of your marriage doesn't impact this payout.
But be warned: If it seems like you entered a sham marriage for the sake of the pension, the pension insurance might suspect a "marriage of convenience." This means they'll do a thorough investigation to ensure the union was not part of a plan to swindle the pension. If the suspicion is unfounded, the widow's pension will still be granted.
The "Marriage of Convenience" Exception
In situations where the marriage lasted less than a year, the pension insurance assumes a "marriage of convenience." This is when the partner is suspected of having been terminally ill and married only for the purpose of passing on their pension.
However, if the husband perished in an accident or their assumption about the partner's health condition can be disproven, the widow's pension will still be paid out.
Pension After the Penultimate Spouse
If the widow's pension from the new partner is lower than it would have been from the penultimate spouse, the pension insurance will calculate the difference and boost the new widow's pension accordingly. To put it simply, they'll pay the higher pension amount in total.
Types of Widow's Pensions
The German Pension Insurance offers two types of widow's pensions: the small one and the large one. The small pension is for those under 47 years old and without children or disabilities, paying out 25% of the deceased's pension entitlement. On the other hand, the large pension, payable for life, amounts to 55% of the deceased's pension entitlement, or 60% if the marriage began before 2002. Age, disability status, or dependent children can make you eligible for the large pension.
Income Considerations
The amount of survivor's pension depends on your income. As long as it remains below the current exemption of approximately €1,038, the pension can be retained in full. Anything exceeding this amount will have 40% deducted from the survivor's pension. For example, if you earn €2,038, 40% of the excess (€1,000) will be deducted from your widow's pension, resulting in a deduction of €400.
Registered Life Partnerships
It's important to note that all rules apply equally to registered life partnerships.
Enrichment Data:
Eligibility Criteria
To qualify for a widow's pension, the deceased must have been married or in a registered civil partnership with the surviving spouse and must have completed a minimum of 5 years of contributions to the statutory pension scheme. The marriage must have lasted at least 1 year, unless the death was accidental or unforeseen[1].
Types of Widow's Pensions
- Small Widow's Pension (Kleine Witwenrente):
- Eligible for spouses below 47 years old.
- Typically paid for a maximum of 2 years.
- Amount is 25% of the deceased's pension entitlement.
- Exceptions may apply if the death occurred before certain dates under older regulations[1].
- Large Widow's Pension (Große Witwenrente):
- Eligible for spouses 47 years or older or with dependent children, or who are disabled.
- Paid for life.
- Amount is 55% of the deceased's pension entitlement, or 60% if the marriage began before 2002 and follows older regulations[1].
- Following the remarriage, it's essential to inform the German Pension Insurance as the widow's pension will transition into a lump sum payment over 24 months.
- If the new spouse passes away, the widow can claim another widow's pension, based on the pension entitlement of the deceased partner, irrespective of the length of the marriage.
- In cases where the marriage is suspected to be a "marriage of convenience," the pension insurance will conduct an investigation, but if the suspicion is unfounded, the widow's pension will still be granted.
