Has the Early-Start Pension already been passed into law?

No. The Early-Start Pension is only planned so far. The federal cabinet adopted the government draft bill on 12 August 2026; the Bundestag and Bundesrat still have to approve it. The planned start is 1 January 2027 with the birth years 2020 and 2021, for birth year 2020 retroactively from 2026. All figures in this calculator are based on this draft and may still change with the final version of the law.

How much does the state pay into the Early-Start Pension?

The plan is 10 € per month, i.e. 120 € per year, that the state pays into an individual, capital-funded retirement account for the child. Funding runs from age 6 to age 18 – over the full twelve years that adds up to a maximum of 1,440 € in state contributions. What matters for the final result, however, is less this sum than the long investment period until retirement.

Which children receive the Early-Start Pension?

The plan is to fund children between 6 and 18 who are resident in Germany. The start is planned as a rolling one: the first eligible cohort is children born in 2020, who turn six in 2026. Younger children join as soon as they turn 6. The government draft does not include older children who are already over 6 in 2026.

What happens to the money until retirement?

The money is invested in the capital market – the plan is an investment that participates in the development of the capital markets. It is locked until the standard retirement age and cannot be withdrawn before then. This long lock-up is precisely the core of the idea: if a child starts at 6, the capital has around 60 years to grow through compound interest.

Can you pay in yourself from age 18?

Yes. Under the government draft, voluntary private top-ups into the retirement account are to be possible – by parents and relatives even before the 18th birthday. Returns are to remain tax-free during the saving phase; the later payout is taxed. In our calculator you can set a monthly top-up from age 18 and see immediately how much it lifts the final result.

How much can the Early-Start Pension grow into?

That depends mainly on the return and the investment period. The state's 10 € a month alone can, at around 6 % return and a start at age 6, grow to a low five-figure amount by age 67 – from a maximum of 1,440 € in contributions. With private top-ups from age 18 it can become a considerably higher amount. Calculate your own scenario with the tool.

Early-Start Pension or your own ETF savings plan – which is better?

Both have pros and cons. The Early-Start Pension adds state money on top plus planned tax advantages, but is locked until retirement. Your own ETF savings plan in the child's name is flexible and available at any time, but receives no state funding. Many families will combine both. You will find a detailed comparison in our guide.

Are the figures in the calculator guaranteed?

No. The calculator shows a model calculation based on the planned rules and a constant return you choose. Actual capital market returns fluctuate from year to year and can also be negative. In addition, the law has not yet been passed. The results are therefore a guide, not a binding promise – all information without guarantee.

Birth Year 2020: How the Early-Start Pension Rolls Out – and Who Follows | Early-Start Pension Calculator

Birth year 2020: the first eligible cohort

Note: The Early-Start Pension is only planned so far (government draft of 12 Aug 2026, intended start on 1 Jan 2027, for birth year 2020 retroactively from 2026). No law has been passed yet; the following details may change.

If the Early-Start Pension arrives as planned, children born in 2020 are the first to benefit. They turn six in 2026 – exactly the age at which the state contribution of 10 euros a month is to begin. This gives them the chance at the full twelve years of funding up to their 18th birthday.

Parents of a child born in 2020 can use the Early-Start Pension calculator to estimate in seconds what this funding could grow into by retirement – and how much a later private top-up lifts the result.

How the rolling start works

Funding does not begin for all children at the same time. It is planned as a rolling process: each birth year starts in the year the children turn six.

Born 2020: Funding from 2026 (retroactively, paid from 2027), full twelve years possible.
Born 2021: Start 2027.
Born 2022: Start 2028 – and so on.

For younger birth years, the matter is clear: they join automatically as soon as they turn six and then receive the full funding period. The calculator tells you the expected start year for each year of birth.

And children already older than 6 in 2026?

For children who are already over six in 2026, the treatment was open for a long time. Two readings were discussed:

Strict reading: Only birth year 2020 and younger children are funded. Older children would then not be eligible.
Catch-up reading: Older children are also included from 2026 and receive funding for the remaining years until 18.

The government draft of 12 August 2026 follows the strict reading: only birth year 2020 and younger children are funded. For older birth years our calculator now shows the catch-up reading only as a hypothetical model and points out that it is not foreseen under the current draft. Try different birth years in the calculator to see the difference.

What parents can do now

Concrete action is not yet possible, because the law is missing and the accounts do not yet exist. However, it makes sense to engage early with the topic of provision for your child. Anyone already considering an ETF savings plan in the child's name can later view the Early-Start Pension as a supplement – not a replacement.

Also keep an eye on the legislation: only with the adopted law will the details – investment form, top-up rules, taxation – really be fixed.

Birth Year 2020: How the Early-Start Pension Rolls Out – and Who Follows

Birth year 2020: the first eligible cohort

How the rolling start works

And children already older than 6 in 2026?

What parents can do now

You might also find useful

Child Investment Account Calculator

ETF Savings Plan Calculator

Child Cost Calculator