GERMANY - The German government's pension report for 2009 has revealed that employer contributions to pensions will remain stable at 19.9 % until 2014, despite the current economic crisis.

Increases thereafter are not ruled out. According to the government's  calculations, pension contributions will rise to 20.6%  in 2023. By 2023, pensions income is expected to have risen by 25%, which equates to 1.6% anually, the pension report said.

However, a private pension is becoming increasingly important if future pensioners want to maintain a life-style they have become accustomed to while being salaried employees, the government added.

Separately,  Postbank AG's latest research showed that around 70% of Bavarians and North-Rhine Westfalians consider home-ownership to be the best pension guarantee after the state pension, reflecting the current government's stance that "home-ownership equals provision for old age" (wohneigentum ist altersvorsorge).