Rentenlücke

The **Rentenlücke** (German for "pension gap") refers to the financial shortfall many individuals face when transitioning from active working life to retirement, particularly in Germany and other European countries with defined-benefit pension systems. This gap arises due to differences between expected and actual retirement income, often influenced by factors such as career interruptions, part-time work, lower wages, or early retirement.

One of the primary causes of the pension gap is the reliance on **employer-based pensions**, which traditionally provided fixed monthly payments based on years of service and salary history. However, with the rise of flexible work arrangements, women often face longer career breaks—due to childcare responsibilities, for example—leading to reduced pension contributions. Additionally, part-time workers, who make up a significant portion of the workforce, typically earn less over their careers, resulting in lower pension entitlements.

Another contributing factor is the shift toward **defined-contribution systems**, where retirement savings depend on individual contributions and investment performance rather than guaranteed payouts. While this approach offers flexibility, it can leave retirees vulnerable if their savings are insufficient. The **Rentenreform 2007** in Germany introduced measures like the **Rürup-Rente** (state-backed pension) and increased contributions to the **public pension system**, but these changes did not fully address the underlying disparities.

The pension gap also reflects broader socioeconomic inequalities, as lower-paid workers and those in precarious employment accumulate smaller pension funds. To mitigate the issue, some countries encourage private savings through **pension funds** or **tax incentives**, while others promote part-time work or early retirement incentives. However, without systemic reforms, the pension gap remains a persistent challenge for future generations.