Around half of all Germans are worried that they will be poor in old age, but almost the same proportion believe they lack the means to do something about it, according to a Deutsche Bank survey presented in Frankfurt on Wednesday.
According to the survey of 3,200 respondents conducted by the Ipsos opinion research institute in October, many Germans realize that the state pension will not suffice.
“We perceive rather shaken confidence in the state pension,” Thomas Hoerter, head of market research at Deutsche Bank, said.
Just 17 per cent of those aged between 20 and 65 expect the state pension to provide adequately in old age. By contrast, 70 per cent believe that only a basic level will be provided from this source.
And more than half – 54 per cent – even believe that the state pension system will collapse entirely at some point.
Awareness that private provision for old age is necessary to maintain the accustomed standard of living is correspondingly high, with 71 per cent believing this.
According to the respondents themselves, the median is €50 ($55) a month in money set aside for old age, whereas they believe that 200 euros is needed. Almost half – 47 per cent – would like to save more, but have nothing left over.
A major obstacle is that 56 per cent of the respondents find old age insurance products difficult to understand, with 36 per cent seeing the entire issue as too complex.