The Riester pension plan - a flop?

With the introduction of the Riester pension plan on 1 January 2002 the attempt was made to establish a private pension fund alongside the statutory system. For Prof. Hans Fehr, Würzburg University, the launching of the private pension scheme was unsuccessful, especially due to the lack of information for the citizenry. Dr. Dirk Kiesewetter, Tübingen University, argues that the Riester pension is a perfect example of a failed savings-promotion programme. Dr. Michael Myssen, Federal Ministry of Finance, believes that the Riester pension is beneficial not only for families with children and for low-wage earners, but also for singles or top earners.