1968 agreement, combining service years, proportional share
The 1968 agreement between Yugoslavia and Germany still applies to Serbia. Learn how to combine service years and receive pension from both countries.

The social security agreement between the SFRY and the Federal Republic of Germany was signed in 1968 and came into force in 1969. It regulates pension insurance, health insurance and unemployment insurance for workers who worked in both countries.
After the breakup of Yugoslavia, Germany continued to apply this agreement to Serbia, Bosnia and Herzegovina, Montenegro and partially to Kosovo (while new bilateral agreements were signed with Croatia, Slovenia and North Macedonia).
Who handles cases under the Agreement?
Key advantage of the Agreement: service years from Germany and Serbia are combined (totalization) when determining pension eligibility. This means insurance periods from both countries are added together to reach the minimum threshold.
5 years
Minimum service in Germany (DRV)
60 months of contributions for Regelaltersrente
15 years
Minimum service in Serbia (PIO fund)
General service for old-age pension
Germany: 8 years ≥ 5 — eligibility exists
Minimum threshold of 5 years in the German DRV system met
Serbia: 12 years < 15 — no eligibility without combining
But with combining: 12 + 8 = 20 years ≥ 15 — Serbian pension eligibility!
Result: two separate pensions
Germany pays proportionally 8/20, Serbia proportionally 12/20 of the theoretical pension
Check your service records early!
When pension eligibility is established (directly or through combining), each country calculates a proportional share (pro rata temporis) — the percentage of the theoretical full pension corresponding to the service years in that country.
Each country pays its share independently. You receive two pensions — nothing is deducted from one to the other.
Say you worked 20 years in Germany with an average gross salary of EUR 3,000, then 10 years in Serbia. Total qualifying period: 30 years.
German pension: DRV considers all 30 years for eligibility, but pays proportionally — 20/30 (66.7%) of the theoretical pension. With 20 years of contributions at a gross salary of EUR 3,000 per month (Durchschnittsentgelt 2026: EUR 51,944/yr; Aktueller Rentenwert: EUR 40.79/EP), this is roughly EUR 550-590 per month. Values are updated once a year (July) — the actual amount at retirement may be higher or lower.
Serbian pension: The PIO fund considers all 30 years, but pays 10/30 (33.3%) of the theoretical pension. The amount depends on Serbian pension points for those 10 working years.
Total income: two separate pensions from two countries. Nothing is deducted from one to the other.
National pension vs. pro rata
The pension claim is filed in the country where you live. If you live in Germany, you file with DRV; if you're in Serbia, you file with the PIO fund. The responsible authority forwards the claim to the other country.
Submit to the PIO fund at the nearest branch or via eUprava:
Submit to DRV (DRV Bayern Süd for ex-YU agreement):
File your claim 3-6 months in advance
If you live in Serbia and receive a German pension, your German pension is taxed in Germany, not in Serbia. This is regulated by the Double Taxation Agreement (DBA) between Serbia and Germany.
Responsible for all non-resident pensioners receiving German pension from abroad.
Finanzamt Neubrandenburg (RIA), 17041 Neubrandenburg
The double taxation agreement prevents you from paying tax on the same pension in both countries.
Art. 18 DBA: pensions are taxed in the source state (Germany)
Tax return from Serbia
The 1968 Agreement also covers survivor pensions — the right of the spouse and children to pension after the insured person's death. The same combining rules apply.
Entitlement to 55% (large) or 25% (small) of the deceased spouse's pension. Condition: marriage lasted at least 1 year (exception: accident). The Serbian PIO fund has similar rules.
Children up to 18 years (up to 27 if in education) are entitled to orphan's pension — 10% (half-orphans) or 20% (full orphans) of the deceased parent's pension.
Survivor pension claim
Residence permits
Documents guide
DE-RS social security treaty — what rights it grants, who is covered, and how it's applied.
Read moreHow Serbian and German insurance periods combine to meet pension qualification thresholds.
Read moreSerbian (by descent), German, dual — how to check what you're entitled to.
Read moreLast updated: March 2026. Information has been verified against available sources but does not constitute legal advice.
Pending professional legal review