Wie lange reicht das Vermögen bei Einkommensausfall? WSI-Verteilungsbericht 2017

An important function of private wealth is securing the level of consumption in the event of a loss of income. Without their current income half of the households could maintain their current level of consumption by using their assets for a maximum of two years. However, this includes 30 percent of households who are in debt or have no significant assets and are thus permanently dependent on their income. 10 percent of households can maintain their current level of consumption for at least 13 years. This study also finds a positive association of protection of consumption with age. However, for every age cohort there are 20 percent of households, which can only secure their current level of consumption by using their assets for a very short time. In particular, single-parent families depend on their current income. The results show that the majority of households have only very limited security in the form of private wealth. It is also argued, securing of consumption can be done at a private or state level. It should take place at one of the two levels, otherwise major life risks are not safeguarded. At both levels is a need for political action.