If you intend to study in Germany or plan to work in Germany, you can expect some crucial changes in Germany in 2021. There are many changes to be desired, but these three changes are more exciting for students and professionals.
Increase in the minimum wage rate:
Germany has decided to increase the statutory minimum salary from 9.35 euros to 10.45 euros per hour by July 2022. This salary increase will gradually happen in four stages. The first stage will start on 1st January 2021, in which the minimum wage will increase by 15 cents. The second stage will increase by 10 cents, in the third stage 22 cents, and in the fourth stage, 63 cents. It is beneficial not only for professionals but also for students who desire to work in Germany.
Increase in the limit of tax-free income:
Germany increases the tax-free income limit from 9,408 euros (2020) to 9,744 euros in 2021. It means there will be no tax on this portion of the salary. Now students and workers can earn and save more money in 2021.
The higher contribution rate for statutory health insurance:
In 2021, statutory health insurance’s flat contribution rate has increased from 14.6 percent to 15.9 percent. It means now workers will pay a higher contribution rate on their gross income. If you cannot pay the high amount of the statutory health insurance, you can switch to cheaper private health insurance such as Mawista.
In 2021, workers (local and foreigners) who want to claim sickness benefits or sickness leaves don’t need to submit Krankenbescheinigung to the employers and health insurance providers by hand or post. Now, doctors will take care of this and send a copy of Krankenbescheinigung electronically to health insurance providers and employers.
Suppose you have any questions about these crucial changes in Germany or need any additional information about Germany’s study and work. In that case, you can click the below button and ask a question on the German Study Guide forum.