On 29 September 2026, the Federal Central Tax Office (BZSt), in its capacity as the supervisory authority for certified pension providers (Zertifizierungsstelle), announced the opening of the application process for certification of pension products that will be eligible for state subsidies under the revised Altersvorsorgereformgesetz (Pension Reform Act) effective 1 January 2027. The reform, enacted in June 2026, introduces a new framework for private retirement provision (Altersvorsorge) that expands the range of eligible product types, includes sustainable investment criteria aligned with the EU Taxonomy Regulation, and simplifies the certification procedure for providers. The BZSt’s certification portal now accepts applications for basic pension contracts (Basisrente), Riester contracts, and the newly introduced “Flexi-Rente” products. Providers must demonstrate compliance with the updated product requirements, including cost transparency standards, minimum guaranteed returns, and ESG integration. The certification decision will be issued within 90 days of complete application submission. Products certified by 31 October 2026 will be included in the official product register for the 2027 subscription period.
Key Takeaways
- Expanded Product Scope and Sustainability Requirements: The 2027 reform adds “Flexi-Rente” products — hybrid contracts combining guaranteed elements with flexible investment options — to the list of subsidized pension vehicles. All products must now meet minimum ESG criteria defined in the EU Taxonomy Regulation (Regulation (EU) 2020/852), requiring at least 30% of assets to be invested in taxonomy-aligned economic activities. Providers must submit a sustainability disclosure annex with their certification application.
- Streamlined Digital Certification Process: The BZSt has fully digitized the certification workflow via its online portal, allowing providers to upload product documentation, actuarial calculations, and compliance attestations electronically. The portal includes automated validation checks for completeness and consistency, reducing processing time. The BZSt will publish a weekly updated list of certified products on its website, enhancing market transparency for consumers and intermediaries.
- Transition Rules for Existing Contracts: Existing certified products (Basisrente and Riester) remain valid until their current certification expires, but providers must apply for re-certification under the new rules by 31 December 2026 to maintain subsidy eligibility for new contributions in 2027. The BZSt has issued a transition guide detailing the required amendments to product terms and conditions, particularly regarding cost caps and the new “portability” feature allowing savers to switch providers without loss of subsidies.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement