Germany's Bundestag passes the 'Frühstartrente': EUR 10 a month into an invested pension pot for children from age 6

The Bundestag adopted the Frühstartrente on 16 October 2026. The state will pay EUR 10 a month per child aged 6 to 18 into an individual, capital-market retirement account opened by parents, starting with children born in 2020. Families can top it up privately. If parents open no account, the money goes from 1 January 2028 into a federal special fund invested collectively. Withdrawals are generally not possible before 65. The cost is about EUR 198 million in 2027, rising to EUR 411 million by 2030. The law now goes to the Bundesrat. Finance Minister Lars Klingbeil called it "a digital family savings book". The Left called it "private customer acquisition at state expense", and the Greens called the age-six cutoff "simply unfair".

A pay-as-you-go pension system is adding a small, universal funded pillar from childhood. For comparison with other countries, the default fund for families who do nothing is the key design detail. The open questions are fees, take-up and whether EUR 10 a month is meaningful or symbolic.