Pension Refund

Project Overview:  

Have you worked in Germany or completed Masters / PhD from Germany and currently live in India / USA/ Singapore / Switzerland/ Australia / Japan or other non-EU countries etc.?

Do you know that you can claim for a refund of pension insurance contributions after finishing your assignment in Germany? We can help you to get your money back!


Eligibility Criteria For Refund Of The Contributions:

Indian employees who contributed to the German social security system when they worked on a Work permit in Germany

a. The pension contributions should be less than 60 months.

b. No lower limit.

c. The waiting period of 24 months after the last contribution to the German pension system is complete.

d. Employees current residence should be out of Germany, UK and EU. Indians living in countries like India, USA, Australia, Singapore, Switzerland, Canada, Indonesia, Japan etc. are eligible candidates for the refund.

For Example

1) If the employee worked till March 2014 and pension contribution was up to March 2014, then refund is possible from April 2016 onwards.

2) Employee worked till March 2014, but the pension was paid till September 2009, then refund is possible immediately after return from Germany that is March 2014. Waiting up-to April 2016 is not required.

How much interest is paid by German pension office on the deposits?

The contributions to the German Pension System do not have any additional interest payment. Thus, it is advisable to withdraw money as early as possible and divert the fund amount towards other investments.

I have lost my documents, can I still get pension refund?


I have lived in Germany for more than 5 years, Can I get the refund? What will happen to my pension contributions?

No. According to the latest amendment in the rules of Indo-German Social Security Agreement, brought in effect from 01.05.2017, pension accounts, which are inactive for a period of 60 months (5 years) and above, are not eligible for pension refund.

However, one can claim monthly pension as determined by the guidelines of German Government after attaining the official retirement age (67+years).

I have lived in Germany for less than 5 years, can I get the refund?

Yes, refunds are still possible for less than 60 months of pension contributions.

One should claim for refund as soon as the waiting period of 24 months (2 years) is completed. This is beneficial if one has to go again to Germany. This step ensures that 60 months period is not crossed. (Withdrawal of previous contributions resets the account and one can start afresh).

When can I get my refund of pension contributions?

If you have worked in Germany till August 2018 or your last contribution to the pension fund was before August 2018 and have left Germany recently (in light of the social security agreement between India and Germany in October 2009). This implies that it has been more than 24 months (2 years) since the last pension contributions, the refund claim can be processed immediately.

Pension refund application can be submitted 2 months before completing 2 years.

If I apply for a refund now, I will lose the contributions made by the employer. So I think, I should wait till my retirement age. What is your opinion?

It is true, that only employee contributions are refunded. However, it is advisable to get a refund. Here are some facts we need to consider before arriving at a decision.

1) There is no interest paid by the German Government towards the deposits.

2) People who paid for < 5 years, can get employee contribution as a refund.

3) People who paid for > 5 years, cannot get employee contribution as a refund. [effective from 01.05.2017]

4) Monthly pension as determined by obscure guidelines of the German Government. This pension starts after the official German retirement age of 67+years.

          Employer's contributions are never refunded, in any case.

Once one receives the refund, one can invest in India and get better returns. In a period of 20 years, it will be 4-5 times of employee contribution (with a conservative estimate of 8% return compounding). Investing the refunds has better RoI.

How much amount will I get?

Please use our refund calculator to estimate your refund amount.

Employee's contributions are refunded (as shown in your salary slips).

For example:

Gross Monthly salary (Euros)     Contribution Period in Months       Refund in Euros          Refund in Rs.

4000                                            12                                                  4560                            3,19,200

4000                                             18                                                  6840                           4,78,800

4000                                             24                                                  9120                           6,38,400

4000                                             36                                                  13680                         9,57,600

5000                                             12                                                  5700                           3,99,000

5000                                             18                                                  8550                           5,98,500

5000                                             24                                                  11400                         7,98,000

5000                                             36                                                  17100                         11,97,000

6000                                             12                                                  6840                           4,78,800

6000                                             18                                                  10260                         7,18,200

6000                                             24                                                  13680                         9,57,600

6000                                             36                                                  20520                         14,36,400

The above calculations assumes 1 Euro = Rs. 70.

You can send your salary slip of December months or LohnsteuerBescheinigung (Wage tax certificate) of every year to us to calculate your refund amount.

What is the procedure?

There are some specific forms that need to be filled up and submitted along with required documents.

I live in a city with no German embassy, do I need to visit German embassy in another city to get the document stamped for processing of refund?

There is a form, which needs to be completed by authorized personnel. By completing the authorization procedure, you will not be required to go to the German embassy to get documents signed.

There are other options also available within your city. We will guide you to get this form filled and duly authorized.

How much time does it take to get the refund?

It takes about 2 to 3 months (on an average) to get the refund money in your bank account.

If I get the refund now, Can I again go to Germany for work? Is there any restriction in getting a work permit if I get refund?

There are no restrictions to work again in Germany after getting the pension refund. You can certainly work again. The same Social security number will continue and it will start from zero balance (because you have already taken refund for earlier contributions). Our many clients are working again in Germany after getting their pension refund.

Do I need to have a bank account in Germany to get the refund?

To inform that it is not mandatory to have a German bank account to get your refund. It is possible to get the refund in your Indian bank account (Normal saving account as well as NRE Account) also. German authorities will directly credit refund into your Indian bank account. Our customers have got money refunded into their Indian bank accounts like ICICI, HDFC, State Bank of India, CitiBank, Kotak Mahindra, Axis bank etc. and also to German bank accounts e.g. Deutsche bank, Sparda bank, CommerzBank, Sprakasse, Targo Bank etc. Our 90% of client get the refund into their Indian bank account because they don't have any German bank account. 

Now I know that I can eligible for refund, but I am not confident to do this on my own, can you help me?