As a citizen of Philippines who has experienced working in Germany, familiarizing yourself with the criteria for obtaining a pension refund is essential. Your payments into the German pension system are a significant element of the country’s social welfare framework. However, navigating the process to reclaim these contributions upon leaving Germany, especially understanding the requirements for nationals of Philippines, can appear daunting.
This article delves into the crucial details concerning eligibility for a Reimbursement of German pension contributions for citizens of Philippines.
This guide aims to provide clear insights and guidance to help you make informed decisions about your financial future after leaving Germany, whether you’re considering claiming a refund of your German pension or want to better understand the social security arrangements between Germany and Philippines.
German Pension Refund Eligibility for Citizens of Philippines
As a foreigner living and working in Germany, you contribute approximately 9% of your monthly taxable income to the Deutsche Rentenversicherung, which is the official pension insurance system in Germany. It’s vital to understand that this contribution is a shared responsibility, with your employer matching your payments into the social security system.
So, what becomes of these contributions after your employment in Germany ends, and you leave the country? Can they be reclaimed?
The Social Security Code (§210 SGB VI) and the Social Security Agreement between Germany and Philippines set out the guidelines for claiming a refund of your pension contributions from the German pension insurance scheme. This agreement, which sets out the eligibility criteria and the procedure for applying for a refund of your contributions, is tailored to the needs of nationals of Philippines.
Understanding the procedure for claiming a refund of your German pension contributions is key as you plan for your future post-Germany. As a citizen of Philippines, you may be eligible for a refund, provided you fulfill certain conditions.| When planning your future after leaving Germany, it is important to understand the procedure for claiming a refund of your German pension contributions. As a citizen of Philippines, you may be entitled to a refund if you meet certain conditions.}
Pension Refund Eligibility: General Criteria
When you leave Germany, you generally become eligible for a refund of your German pension contributions if:
a) you are ineligible to make voluntary contributions to the German pension system (voluntary insurance/freiwillige Versicherung) from your new place of residence.
and
b) at least 24 months have passed since your most recent contribution to Germany’s statutory pension scheme.
The option to make voluntary insurance payments (a) depends on the social security agreement between Germany and your home country.
Generally speaking, you are not entitled to get your German Pension Contributions refunded if
a) You are entitled to or are already receiving a German pension.
b) You can make statutory pension contributions or are covered by compulsory insurance in Germany.
c) You have the option of making voluntary contributions to the German pension scheme (voluntary insurance).
In short: The eligibility for German Pension Refund for Citizens of Philippines
As a citizen of Philippines, you are only entitled to a refund of your German pension contributions if your employment in Germany lasted less than 5 years (i.e. you paid pension contributions in Germany for a maximum of 59 months) and at least 24 months have elapsed since your last pension contribution in Germany.
Intergovernmental agreements on social security
The exchange of social security benefits between the two countries is governed by bilateral agreements between Germany and Philippines.
Specifically, these agreements state that as a citizen of Philippines living in Germany as a tax resident, you are eligible for a German retirement pension after a contribution period of 60 months.
With regard to voluntary contributions to the German pension insurance scheme, the Social Security Agreement stipulates that if you are resident in the EU or the UK, you will be given the option of continuing to make contributions to qualify for a statutory pension in Germany.
In addition, if you have already paid contributions for at least 60 months, you can continue to pay into the German pension system from anywhere in the world.
This means that if you live in the EU/UK, or if you have paid into the German pension system for at least 60 months, you will not be eligible for a Reimbursement of German pension contributions. This is because you are entitled to a German pension and the agreement allows you to make voluntary contributions even if you do not benefit directly from them.
If you do not meet the pension eligibility criteria and live outside the EU or the UK, you may be entitled to a pension refund 24 months after your last contribution.
Claim your Reimbursement of German pension contributions with our Free Eligibility Check
Navigating the terrain of German pension refunds reveals that processing times can significantly vary, often extending from several months to over half a year. For those seeking a swifter process, specialized services provide an accelerated pathway.
Additionally, the Reimbursement of German pension contributions is made easy through our online tool in the form of a free eligibility check. These instruments are designed to evaluate your eligibility for a Reimbursement of German pension contributions seamlessly and estimate the potential refund amount. The pension check ensures a transparent and straightforward process for examining your pension insurance records with the German pension fund and initiating a Reimbursement of German pension contributions.