Why retirement planning matters even if you aren't staying in Germany forever

Many expats move to Germany with a temporary mindset. “Just a few years,” they tell themselves. But then life happens, jobs change, families grow, and suddenly, Germany feels a little more permanent. Still, when it comes to retirement planning, many delay taking action. After all, why plan in Germany if you don’t plan to stay?

Here’s the truth: retirement planning is not about where you live now; it’s about how you want to live later. And whether you stay in Germany or move elsewhere, your financial future depends on the decisions you make today. Here are some good reasons to start your retirement planning while you are still in Germany.

1. Postponing retirement planning comes at a cost 

It's common to feel overwhelmed by the unfamiliar pension system or the bureaucracy in Germany, or to consider yourself “in between countries”, so it’s no surprise that many expats delay their retirement planning. But here’s the problem: delaying means losing time, and in retirement planning, time is your most valuable asset.

Compound interest doesn’t wait. Contribution gaps don’t fill themselves. And state pension systems – whether in Germany or abroad – rarely meet your full financial needs.  There’s no way around it: you need private retirement savings to ensure long-term stability, no matter where your future takes you. 

2. Your German pension doesn’t disappear when you leave 

A common misconception among expats is that the German state pension (Deutsche Rentenversicherung) is only useful if you retire in Germany. Not true. If you work and pay into the German system for at least five years, you qualify for a partial German pension, even if you leave the country later.

For example, if you worked in Germany for seven years and then moved away, you’d still receive a proportional pension payment from Germany when you retire, even if you never return. It's important to understand that contributions in Germany don’t vanish. They can become a valuable piece of your global retirement puzzle.

Have a chat with Kerstin Brunner about how best to arrange your pension

3. Private planning gives you personal freedom

Government pensions, in Germany or abroad, were never designed to fully fund retirement lifestyles. That’s especially true for expats with non-linear careers, periods of self-employment, or career breaks. The good news? You can build a private pension strategy that fits your life now, and adjusts as your plans change.

Planning your retirement isn't about predicting the future, it's about preparing for it. When you start planning, you take control. You can make smart choices about where to live, how much you’ll need each month, what kinds of insurance you should keep, how your investments can grow and how to handle risks like inflation, currency fluctuations or healthcare expenses.

More importantly, planning helps you define your vision. What does retirement look like for you? What do you want to do? Where do you want to live? What will bring you joy, purpose, and peace? 
Once that vision is clear, the financial part becomes a tool, not a barrier. In other words: retirement planning doesn’t tie you down, it sets you free.

4. Your country might change, but your needs won’t

As an expat, you already know how mobile life can be. You might be living in Germany now, but retire in Portugal. You might work in Germany, but plan to move back home one day. Retirement plans must be portable, flexible and realistic. But above all, they must be intentional.

Regardless of geography, your basic needs in retirement are the same:

• A safe and stable home 
• Reliable healthcare 
• Sufficient income to maintain your lifestyle 
• The ability to enjoy your free time without constant money worries

These aren’t luxuries. They’re necessities. And achieving them is almost impossible without a financial strategy.

5. Think globally; plan locally

Just like your career and personal life span multiple countries, your retirement planning can too. But it has to start somewhere, and if you're currently living and working in Germany, now is the time. Waiting until you're somewhere you intend to stay more permanently may mean that you lose valuable time.

It is worth bearing in mind that you usually cannot retroactively close pension gaps, but it is possible to coordinate your investment and pension strategy internationally. Even more importantly, the peace of mind that comes with knowing that you’re prepared is priceless.

6. One size doesn’t fit all 

It may seem like the pension plans you see advertised aren't right for you, or your international lifestyle. That might be true, but there are still options out there for you. You don't need a generic solution. You need a personalised retirement plan that considers all the factors in your life: your current financial situation in Germany, your family and legal obligations, your citizenship and long-term location plans, as well as your risk tolerance and life goals.

There’s no one "perfect" pension product. But with expert guidance, you can choose from available tools to build a coherent, international, and profound strategy.

Private retirement planning is essential

Whether you stay in Germany or not, whether you retire at 67 or 57, and whether your life takes you to Munich or Montréal, you need to plan for your retirement. The longer you wait, the more options you lose. Don’t leave your future to chance. Start shaping it today.