World Pension Rankings 2026: Countries With Strongest Systems

Countries with the world’s best pension systems have been named

An ageing population is forcing a rethink of approaches to pension provision: it is now not only important how much a person receives upon retirement, but also whether that money will last into old age. This issue is the focus of the 2026 Marsh and CFA Institute Global Pension Index, which covers 55 countries.

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According to Mercer, Australia featured amongst the leaders in the top category for the first time, whilst the Netherlands retained first place.

The Dutch pension system scored 85.8 out of a possible 100. Denmark followed with 84.1 points and Iceland with 84 points. The top six also included Singapore (82 points), Israel (81.9) and Australia (80.6). All these countries received the highest rating – Category A.

Australia moved up into this group from a score of 77.6 points the previous year. Its Superannuation pension system is based on compulsory contributions towards pension savings. Singapore topped the list among Asian countries thanks to its Central Provident Fund (CPF).

However, a high ranking does not always mean that a pension system performs equally well across all areas. Switzerland came 11th with 73.6 points, ahead of France, Germany, Italy and Austria. Yet, in terms of the adequacy of benefits, it ranked only 28th.

The contradiction is even more striking in France and Spain. Both countries scored over 80 points for the adequacy of current pension payments, but received only 49.3 and 33 points respectively for long-term sustainability. High levels of public debt and an ageing population are putting increasing pressure on pension systems, calling into question their ability to maintain benefits in the future.

The assessment methodology for the 2026 index has been updated: it now also takes into account the maintenance of income after the age of 80. At this age, personal savings may dwindle, whilst expenditure on healthcare and care may rise. The study therefore highlights a problem that cannot be solved simply by increasing pensions today: people need to be provided with financial support during the final decades of their lives.

The world’s top 6 pension systems

Six countries received the highest rating (Grade A, over 80 out of 100):

The Netherlands (85.8 points): Ranks first in the world thanks to a combination of a basic state pension and high coverage by occupational pension schemes.
Denmark (84.1 points): The best performance in terms of sustainability in the face of demographic change.
Iceland (84.0 points): A high savings rate and strict discipline in pension funds.
Singapore (82.0 points): Recognised as Asia’s best pension system
Israel (81.9 points): Has joined the elite group thanks to mandatory contributions to private pension funds
Australia (80.6 points): The most effective system

This story was translated with the assistance of artificial intelligence.The translation was also reviewed by the Logos Press editorial team.

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