[Germany] Changes to taxes and pay this month

[Germany] Changes to taxes and pay this month
01 Jul 2025

July brings some key changes for workers in Germany. Tax returns are due, tax advisor fees are increasing, and the ‘exempt from execution’ limit is on the rise, IAmExpat reports.

2024 tax returns due on July 31

The deadline for filing 2024 tax returns in Germany is July 31, 2025.

For the tax years 2019 to 2024, the deadline for filing a return was extended to September each year due to the pandemic. 2025 is the first year to return to the “normal filing deadline” in July.

Those working with a tax advisor to submit their tax return reportedly have a little longer; the deadline to submit their 2024 declarations is not until March 1, 2026.

Tax advisor fees increasing

In July, the standard fees for certain tax advice services will rise as the new Tax Advisor Remuneration Act (Steuererklärungsvergütungsverordnung) comes into force. 

The value fee (Wertgebühr) will increase by 6 per cent, the payroll accounting fee will increase by 9 per cent, and the time fee (Zeitgebühr) will be calculated in 15-minute rather than 30-minute increments. 

Pay rises for elderly care workers

From July 1, people working in elderly care will receive a pay rise. Their minimum wage will increase from 15.50 to 16.10 per hour. 

Qualified elderly care workers who have completed a one-year apprenticeship will see a pay rise, taking them from 16.50 to 17.35 per hour, while specialist elderly care nurses will get a pay rise from 19.50 to 20.50.

Exempt from execution limit rising

From July 1, Germany’s “exempt from execution” limit (Pfändungsfreigrenze) will rise. The Pfändungsfreigrenze ensures that people in debt receive a portion of their income, allowing them to pay their living costs. 

The monthly Pfändungsfreigrenze for single people will reportedly increase from 1.491,75 to 1.555 before tax.


Source: IamExpat

 

July brings some key changes for workers in Germany. Tax returns are due, tax advisor fees are increasing, and the ‘exempt from execution’ limit is on the rise, IAmExpat reports.

2024 tax returns due on July 31

The deadline for filing 2024 tax returns in Germany is July 31, 2025.

For the tax years 2019 to 2024, the deadline for filing a return was extended to September each year due to the pandemic. 2025 is the first year to return to the “normal filing deadline” in July.

Those working with a tax advisor to submit their tax return reportedly have a little longer; the deadline to submit their 2024 declarations is not until March 1, 2026.

Tax advisor fees increasing

In July, the standard fees for certain tax advice services will rise as the new Tax Advisor Remuneration Act (Steuererklärungsvergütungsverordnung) comes into force. 

The value fee (Wertgebühr) will increase by 6 per cent, the payroll accounting fee will increase by 9 per cent, and the time fee (Zeitgebühr) will be calculated in 15-minute rather than 30-minute increments. 

Pay rises for elderly care workers

From July 1, people working in elderly care will receive a pay rise. Their minimum wage will increase from 15.50 to 16.10 per hour. 

Qualified elderly care workers who have completed a one-year apprenticeship will see a pay rise, taking them from 16.50 to 17.35 per hour, while specialist elderly care nurses will get a pay rise from 19.50 to 20.50.

Exempt from execution limit rising

From July 1, Germany’s “exempt from execution” limit (Pfändungsfreigrenze) will rise. The Pfändungsfreigrenze ensures that people in debt receive a portion of their income, allowing them to pay their living costs. 

The monthly Pfändungsfreigrenze for single people will reportedly increase from 1.491,75 to 1.555 before tax.


Source: IamExpat

 

Leave a Reply

All blog comments are checked prior to publishing