🧾 Tax, housing benefit, co-payment exemption and further help
In brief
A reduced earning capacity pension can also be taxable. According to the Deutsche Rentenversicherung, people who retire in 2026 must pay tax on 84 percent of it. Whether you actually pay tax depends on your total income.
Housing benefit (Wohngeld) is an alternative to basic income support. Check which benefit fits better. For housing benefit, an exclusion applies in connection with basic income support; the group Rentner gives details.
Co-payment exemption, the severe disability card and compensation for disadvantages have their own pages in other groups. Private occupational disability insurance is a separate topic: group Berufsunfähigkeit.
Step by step
- Check taxClarify with a Lohnsteuerhilfe (income tax assistance association) or tax adviser whether a tax return is necessary.
- Check housing benefitAsk the housing benefit office whether housing benefit or basic income support fits.
- Collect co-paymentsCollect receipts in order to reach the burden limit.
- Check GdBClarify whether an application for recognition of severe disability makes sense.
Deadlines
- Tax liability depends on total income. The taxable share alone says nothing about the tax burden.
- Housing benefit and basic income support are generally mutually exclusive. The exact exclusion (§ 7 WoGG) was not checked here.
- Co-payment exemption is explained in the group Chronisch Kranke (§ 62 SGB V). Severe disability card and GdB: group Menschen mit Behinderung.
- Private BU contracts: check deadlines and clauses. Only a reference here.
In depth · legal basis, figures and practice – for advisers and professionals
Tax
For pensions starting in 2026, the Deutsche Rentenversicherung gives a taxable share of 84 percent; the remaining 16 percent initially stays tax-free. Basic tax-free allowance, income-related expenses, special expenses, obligation to file a tax return and filing deadlines were not checked in primary sources here; see group Rentner (pension and taxes) and group Berufsunfähigkeit (tax on reduced earning capacity pension).
Housing benefit
Requirements, amounts and exclusion in case of basic income support were not checked against the full text. According to the group Rentner, the 2027 housing benefit reform is a cabinet draft and has not been enacted.
Co-payment exemption and GdB
The burden limit under § 62 SGB V and the severe disability card are explained in the groups Chronisch Kranke and Menschen mit Behinderung. The connection between severe disability and reduced earning capacity is in the group Berufsunfähigkeit.
Private cover
Private occupational disability insurance policies are contracts and not a statutory benefit. Contract basics, rejection, referral to other occupations and re-examination: group Berufsunfähigkeit.
A question about your situation that this page does not answer? Write to us or use the contact form – we will tell you which office is responsible and what to bring. Free of charge, without individual legal advice.