A widening chasm in income is emerging between Germany’s elderly population and the nation as a whole, with particularly vulnerable individuals aged 75 and over facing escalating financial hardship. Data recently released by the Federal Statistical Office and initially requested by the Sahra Wagenknecht Alliance (BSW), reveals a concerning trend that critics are now escalating into a direct challenge to the current government’s policies.
Between 2022 and 2024, the average net equivalent income for the German populace rose by approximately 11.5 percent. However, individuals aged 75 and older experienced only a 7.7 percent increase during the same period, signifying a significant divergence. This disparity translates to a stark reality in absolute terms: the income gap, previously standing at roughly €4,100 in 2022, has now ballooned to over €5,500, placing those over 75 considerably behind the national average.
Currently, the average annual income for Germans over 75 sits at €26,316, sharply contrasting with the overall population average of €31,856. A similar pattern is observed in the over-65 age group, where the income gap has widened from approximately €3,600 in 2022 to nearly €4,500 in 2024.
Fabio De Masi, a prominent politician within the BSW, has seized upon these figures to amplify his criticism of the federal government’s approach to social welfare. “Pensioners in Germany are experiencing a social decline” De Masi stated in an interview with the “Neue Osnabrücker Zeitung”. “They have increasingly less in their wallets compared to the rest of the population. Those over 75 have the least”. He labelled the increasing incidence of poverty among the elderly as “social dynamite for our country” and is advocating for a comprehensive reform modeled after the Austrian system, where pension averages are demonstrably higher.
De Masi announced the BSW’s intention to initiate a legislative request mandating contributions from Members of the Bundestag – federal parliamentarians – into the statutory pension insurance scheme, framing it as an initial step towards addressing the systemic issue.
The net equivalent income, a key metric utilized to assess household wealth by accounting for both income and family structure, underscores the depth of this growing disparity and raises critical questions about the long-term social and political stability of Germany. The accelerating income gap risks exacerbating intergenerational tensions and potentially fueling social unrest if not addressed with meaningful policy interventions.
