Gross and Net Income
|Net Income||Please enter salary|
- Gross Income
- is the sum of all your earnings before any taxes have been deducted, minus any exemptions.
- Net Income
- is the money you take home after all taxes and contributions have been deducted from your gross salary.
|Tax due||Please enter salary|
- Tax due
- is the sum of all taxes and contributions that will be deducted from your gross salary.
The deductions used in the above salary calculator assume you are not married and you have no dependents.
Taxation in Germany
- Income Tax
- is a progressive tax, meaning that individuals with higher wages will be taxed more than individuals with lower wages. The basic personal allowance is currently 9 408 EUR which will be deducted from the total amount of taxes.
- Solidarity Surcharge
- is a tax that is levied in an attempt to provide funding towards socially unifying activities or projects. The solidarity surcharge rate is 5.5% of your income tax.
- Pension Insurance
- is a social security tax and it represents 9.3% of your income.
- Unemployment Insurance
- is a social security tax and it represents 1.25% of your income.
- Health Insurance
- is a social security tax and it represents 7.3% of your income.
- Care Insurance
- is a social security tax and it represents 1.65% of your income.
The information presented on this page is based on the fiscal regulations of Germany in 2020. Visit europa.eu for more details.
Financial Facts about Germany
The average monthly net salary in Germany is around 2 400 EUR, with a minimum income of 1 100 EUR per month. According to wikipedia, Germany ranks 12th in list of European countries by average wage. Germany is not very expensive, compared to other European countries. The cost of food and housing are just a bit higher than the EU average.
Germany performs very well in many measures of well-being. It ranks above the average in education, work-life balance, jobs, income, environmental quality, health, civic engagement, housing, and personal security.
Germany possesses one of the largest economies in the world and employs a social market economy. It has the largest national economy in Europe, the fourth-largest by nominal GDP in the world, and fifth by GDP. Germany has consistently been at the forefront of industrial leadership. The biggest industries in Germany are: automotive, electrical engineering, transport and general engineering, mechanics and precision optics, and pharmaceutics.
Germany is open to immigration, being the second most popular imigration destination in the world, after the United States. According to www.independent.co.uk, three out of the ten best cities for quality of living are based in Germany: Munich, Dusseldorf and Frankfurt.