Healthcare and Retirement

10 posts in this topic

I'm adjusting to the move from England to Germany. I now have an apartment and a job. Woohooo! 

 

In England, I was covered by public healthcare from the day I was born for free.

- Even if I am un-employed/retired, I can see a doctor and get all treatment on offer with the National Health Service for free (well except dental and a small fee for medication).

 

My question is what happens when I retire with regards to healthcare?

- I am all set to pay out of my salary for heath insurance via AOK, but what happens in 20 years when I retired?

- Do I still pay for health insurance even when I am no longer working, or do retired people have some sort of exemptions?

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14 hours ago, stevezap said:

I'm adjusting to the move from England to Germany. I now have an apartment and a job. Woohooo! 

 

In England, I was covered by public healthcare from the day I was born for free.

- Even if I am un-employed/retired, I can see a doctor and get all treatment on offer with the National Health Service for free (well except dental and a small fee for medication).

 

My question is what happens when I retire with regards to healthcare?

- I am all set to pay out of my salary for heath insurance via AOK, but what happens in 20 years when I retired?

- Do I still pay for health insurance even when I am no longer working, or do retired people have some sort of exemptions?

2

 

not "for free", though it is a common misconception. You and everyone else has paid for the NHS thru your taxes, and not too little, actually. The main difference is that in Germany you pay direct contributions. But the health costs are not very different between UK and DE according to the OECD statistics, hence the population in UK pays about the same like the Germans, just in a different way.

Otherwise just read what PandaMunich wrote above.

 

Cheerio

 

I am a professional independent insurance broker, financial adviser, and authorised advertiser. Contact me.
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The thing I always wonder, and don't know, is if people pay UK tax on their pension income, and then health insurance in Germany on the same money, they are then paying both for the NHS and for AOK, oder? 

 

One veteran did have a conversation with me about this, but I confess to not having been properly listening because we were doing ID photos in the booth at the shopping centre and my kids were being idiots. What is it about those machines that turns them all into twits?

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3 minutes ago, kiplette said:

The thing I always wonder, and don't know, is if people pay UK tax on their pension income, and then health insurance in Germany on the same money, they are then paying both for the NHS and for AOK, oder? 

 

The systems are just based on different ideas. The NHS gets financed by tax, but paying tax in the UK doesn't "earn" you or entitle you to the NHS services. The entitlement arises from being a resident. You don't need to be a taxpayer to be entitled. In other words, whether you pay for it or not doesn't matter.

 

In Germany the rationale is different. The entitlement arises from paying into the system: someone has to pay your contributions, yourself, your employer, the dole office. Just being a resident is irrelevant.

 

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1 hour ago, Smaug said:

 

The systems are just based on different ideas. The NHS gets financed by tax, but paying tax in the UK doesn't "earn" you or entitle you to the NHS services. The entitlement arises from being a resident. You don't need to be a taxpayer to be entitled. In other words, whether you pay for it or not doesn't matter.

 

In Germany the rationale is different. The entitlement arises from paying into the system: someone has to pay your contributions, yourself, your employer, the dole office. Just being a resident is irrelevant.

 

 

Nice one @Smaug You are spot on. You describe the differences in a very easy to understand way ( someone should copy-paste this for new arrivals :) 

- This difference took me a little time to understand when I first moved here.

 

@Starshollow You are correct in that I didn't use precise language to describe the "free-ness" of the NHS. I left out some details to save my post being too complex. Sorry for that. You also make the point about the costs being similar overall - I had read this before and I took it into account when moving country.

 

The uncertainty in my mind has not been fully cleared. Maybe a follow up question would help...

 

Say I live & work in Germany for 25 years and pay the health insurance fees for all that time.

- When I retire and have no income, what would I generally be expected to pay for health insurance?

 

In the UK, after paying all taxes during my working life, the government gives approximately £7000 a year as a public pension with no taxes on it and I am eligible for healthcare because I am a resident. My understanding so far is... that after I retire in Germany, there is no public pension and I might have some health insurance fees.

 

I really appreciate the time everyone is taking to help clear my uncertainty. I love living in Germany and it is really nice compared to where I came from in London. I am just trying to plan for my future so I save enough from retirement. Obviously I am happy to pay what taxes and insurance I am required to pay just like I did in England. Some little mistakes in financial understanding now could have a big effect when I am older.

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On 9/23/2019, 6:21:15, stevezap said:

I now have an apartment and a job.

 

14 minutes ago, stevezap said:

Say I live & work in Germany for 25 years

 

14 minutes ago, stevezap said:

that after I retire in Germany, there is no public pension

 

If you're employed, you pay social security contributions, one of which is your German public pension contribution of 9.3%:  https://de.wikipedia.org/wiki/Lohnnebenkosten#Situation_in_Deutschland

 

And if you contribute more than 5 years to German public pension insurance, you will get a German public pension.

 

14 minutes ago, stevezap said:

that after I retire in Germany ... I might have some health insurance fees.

 

You didn't read the post I had linked to, did you?

 https://www.toytowngermany.com/forum/topic/376254-early-retirement-planning-de-resident-with-uk-occupational-pension/?do=findComment&comment=3644407

 

From the time you receive a German public pension, you are a mandatory member (= pflichtversichert) of public health insurance:

you pay 7.3% + Zusatzbeitrag of your Krankenkasse and 2.8% (2.55% if you had a child) for public nursing insurance on your German public pension,
you pay 7.3% + Zusatzbeitrag of your Krankenkasse and 2.8% (2.55% if you had a child) for public nursing insurance on your UK public pension,
you pay 14.6% + Zusatzbeitrag of your Krankenkasse and 2.8% (2.55% if you had a child) for public nursing insurance on your German company pension,
you pay 14.6% + Zusatzbeitrag of your Krankenkasse and 2.8% (2.55% if you had a child) for public nursing insurance on your UK company pension.

 

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@PandaMunich - Thank you for this.

 

I actually did read the post you linked. My issue was I didn't understand yet what the public pension is and how I qualify. So it wasn't clear how the post applied to my situation.

 

Thank you again for your help :)

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14 hours ago, Starshollow said:

 

not "for free", though it is a common misconception. You and everyone else has paid for the NHS thru your taxes, and not too little, actually. The main difference is that in Germany you pay direct contributions. But the health costs are not very different between UK and DE according to the OECD statistics, hence the population in UK pays about the same like the Germans, just in a different way.

Otherwise just read what PandaMunich wrote above.

 

Cheerio

 

I am a professional independent insurance broker, financial adviser, and authorised advertiser. Contact me.

Thanks for reminding  those Brits who think the UK healthcare is Free! 

 

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