(2021) What forms of Rürup pension are available?

The Rürup policy can be taken out as either a traditional or unit-linked life insurance. In both cases, the entitlement is a monthly pension payment, i.e., the annuity. A traditional life insurance invests the savings portion diversified in the capital market, mainly in bonds. The policyholder receives a profit share from the returns. The guaranteed interest rate was 1.75 percent for contracts concluded between 2012 and 2014, 1.25 percent for contracts from 01.01.2015, and it fell to 0.9 percent on 01.01.2017. From 01.01.2022, it is expected to be only 0.25 percent.

With unit-linked life insurance, the savings amount is invested in investment funds. Therefore, there is no guaranteed interest rate as with the traditional policy. The risk is slightly higher. However, an above-average return is possible. The Rürup pension is also secure in the event of unemployment. Since no money can be paid out before the start of the pension, the savings are not considered disposable assets under the Social Security Code and cannot be seized during the savings phase.

The ongoing contributions and the accumulated capital are also not counted towards unemployment benefit II. During the pension phase, the payments are then, of course, subject to seizure, at least above the non-seizable portion. Until then, periods during which no contributions are made for an extended period do not affect the tax benefits. However, the contract with the insurance company must allow for a contribution pause.