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External publications How many founders would fall under the planned pension obligation?

How many founders achieve profit income above the marginal income threshold after 2 years, so that they fall under the planned pension obligation for the self-employed? How high are their incomes? Dr Stefan Schneck and Peter Kranzusch examine these questions in their current publication for the Journal of the Forschungsnetzwerk Alterssicherung.

According to the tax data from the Taxpayer Panel, 6 out of 10 founders earn less than €5,400 per year two years after starting their business. They would not be subject to the new insurance requirement. Most of the founders moved up to a higher income bracket after 2 years, even those who made a loss in the start year. For over 11,000 people in the founding cohort (3.5%), the income exceeded the contribution assessment limit of €84,601.