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Frühstart-Rente Passed? What Is Settled and What Is Open

The Bundestag has passed the Frühstart-Rente, but the procedure is not complete. What is settled, what remains open and what parents should know now.
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Contents

The Frühstart-Rente (early start pension) has been passed by parliament, but it is not yet in force. The Bundestag adopted the law on 16 October 2026, yet according to the German pension insurance (Deutsche Rentenversicherung, DRV, as of 19 October 2026) the legislative procedure is not complete. This guide separates what is settled from what is still open. For the content of the scheme, see our guide Frühstart-Rente: What it offers and who gets it.

In short: The Bundestag passed the Frühstart-Rente on 16 October 2026. The plan is 10 euros a month from the state for children aged six to 18, paid out no earlier than age 65. According to the DRV (as of 19 October 2026), the Bundesrat stage, promulgation and entry into force are still open. Last updated: November 2026.

Key points at a glance

  • The Bundestag adopted the Frühstart-Rente on 16 October 2026 with the votes of CDU/CSU and SPD.
  • The plan provides a state contribution of 10 euros a month per child, first, as the Bundestag describes it, for the 2020 birth cohort, then each year for the cohort that newly reaches age six.
  • The money is not paid out before the age of 65.
  • According to the DRV, the further course in the Bundesrat, promulgation and entry into force are open.
  • Until the law is promulgated there is no registration route and no payout.

What did the Bundestag decide on 16 October 2026?

The Bundestag adopted the law in the version recommended by its finance committee, based on committee recommendation 21/8606. CDU/CSU and SPD voted in favour, the Greens and the Left voted against, and the AfD abstained (Bundestag, text archive, as of October 2026). That establishes the majority in the Bundestag. Legally, however, the scheme only becomes law once the procedure is complete and the act is promulgated in the Federal Law Gazette (Bundesgesetzblatt).

According to the Bundestag, the road to the vote ran through these steps. The cabinet date, however, comes from media reports and has not been checked against an official source:

StepDateStatus
Government draft in cabinetAugust 2026 (media reports)completed
First reading in the Bundestag25 September 2026completed
Public hearing in the finance committee5 October 2026completed
Changes in the finance committee14 October 2026completed
Vote in the Bundestag16 October 2026passed
Bundesrat, promulgation, entry into forceno date confirmedopen (DRV, as of 19 October 2026)

What is settled in the adopted law?

The following key points come from the Bundestag report on the vote (text archive, retrieved on 2 November 2026). The report describes some of them as in the government draft. In the end, the promulgated statute is what counts:

FeatureRule according to the Bundestag report
Funding10 euros per month per child, which is 120 euros a year
Age rangeChildren from six to 18 years
StartFirst the 2020 birth cohort; from 2027 the cohort that turns six in that calendar year is added each year (as the Bundestag describes it; other bodies may state the first cohort differently)
Older childrenContracts are possible, but there is no state funding
Own contributionsup to 6,840 euros per year and contract
Payoutin principle not before the 65th birthday
Transferlater switch into an individual Altersvorsorgedepot (retirement savings account) contract possible
Taxesreturns are tax-free until the payout phase
Cost to the federal budget198 million euros for 2027, rising to 411 million euros by 2030

A worked example shows the order of magnitude. Assumption: a child is funded in all twelve years from age six to 18 and the funding stays at 10 euros a month. The state then pays in 12 times 120 euros, that is 1,440 euros in total. Returns are not included, and no return can be promised. How the money develops depends on the investment and the costs.

What happens if parents do not open a contract?

For children without their own contract, the law provides, according to the Bundestag, a special fund called “Frühstartrente” to be set up on 1 January 2028. The state amounts are invested collectively there. In the committee version, investment is allowed exclusively in broadly diversified global equities or equity funds, and borrowing is excluded. A claim against the fund can later be transferred into an individual Altersvorsorgedepot contract. How the transfer works is covered in Transferring the Frühstart-Rente to your own custody account.

Anyone who wants to open a contract for the child needs, under the decision, a standard custody account that can be concluded electronically. Advice is not mandatory. Whether and when providers offer such contracts will only be clear after promulgation.

What is still open?

Open are the points that neither the Bundestag nor the DRV report as complete so far:

  • the further course in the Bundesrat and the date of promulgation in the Federal Law Gazette,
  • the specific date of entry into force, which the sources do not state,
  • whether the law requires the Bundesrat’s consent, a question the Bundestag report does not address,
  • a transitional offer for teenagers from age 18, which the federal government still wants to examine following Bundesrat proposals,
  • practical implementation at providers and the registration route for parents.

In the first round the Bundesrat had asked, among other things, that own contributions into a second contract should not receive tax benefits. The federal government agreed (Bundestag, as of October 2026). This shows that details can remain subject to coordination until promulgation.

Do I have to do anything as a parent now?

Based on the sources, there is no step you need to take before promulgation. Whether an application will be needed later or the data will be reported automatically is part of the implementation. Our guide Registering for the Frühstart-Rente will follow the procedural status. For the question of which children are funded first, see Which children get the Frühstart-Rente first?.

Frequently asked questions

Is the Frühstart-Rente already law?

Not yet. The Bundestag passed it on 16 October 2026, but the DRV states as of 19 October 2026 that the procedure is not complete. The law becomes binding only with promulgation in the Federal Law Gazette.

When will my child receive the money?

Payout is in principle not before the age of 65. The state contributions flow into the contract or the special fund and are not paid out on an ongoing basis. The sources do not yet give a specific start date for the contributions.

Does the funding apply to older children too?

Not according to the Bundestag report. As it describes the plan, the 2020 birth cohort is funded first (other bodies sometimes state the first cohort differently, and the promulgated statute decides), then each year the cohort that turns six in that calendar year. Older children can open contracts but do not receive a state contribution.

Can I already pay in for my child now?

A contract under the new rules is only conceivable after promulgation and market launch. If you want to save for a child today, you can look at alternatives such as a savings plan. The trade-off is discussed in Frühstart-Rente or a savings plan for your child.

What to do next

  1. Check your child’s birth year. Under the decision it determines whether funding applies.
  2. Follow the procedural status on the FAQ page of the German pension insurance, which states the date of its last update.
  3. Decide on your own contributions only once contract terms, costs and providers are known.
  4. Treat your own retirement provision separately, because it does not depend on this law.

Related guides

Sources: German Bundestag: decision on the Frühstartrente (text archive, retrieved on 2 November 2026, in German), Deutsche Rentenversicherung: FAQ on the Frühstartrente (as of 19 October 2026, in German).

Last updated: November 2026. This guide is general information, not individual advice. If you want to put your own retirement provision into perspective, here is the route to a consultation with Academycon.

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