The personal liability insurance plan from Die Haftpflichtkasse (Einfach Komplett) is rated the best by all rating agencies and experts in 2025. You can get personal liability insurance via comparison portals like Check24* and Verivox*.
Utility & petrol costs
The CO2 price will rise from €45 per ton to €55 per ton in 2025. This will make petrol 2.8 ct/l more expensive and diesel 3.2 ct/l more expensive.
Gas prices will increase in 2025 due to higher network fees and an increase in CO2 prices.
The increase in social security contribution is slightly compensated by an increase in the basic tax allowance. The basic tax allowance will increase to 12,096€ in 2025. It was 11,784€ in 2024. The tax office deducts the basic tax allowance from your income before calculating your income tax.
Earn interest on your cash. Consorsbank* offers the highest savings interest rate of 3.55% on daily bank accounts (Tagesgeldkonto).
We find FYRST* the best bank to offer free business accounts.
Politics
Prepare for an election in February 2025. Five Bürgerämter (citizens’ services offices) in Berlin will be closed to prepare for February’s national elections.
Fireworks may only be legally used from 6 pm Dec. 31 until 7 am Jan. 1.
There will be a shortage of 26000 primary school teachers in 2025.
German visas and skilled workers
You can apply for a skilled workers visa online from 1 Jan 2025.
Hopefully, one can apply for a student and family reunification visa online in 2025.
Every year, the German economy is short 400,000 skilled workers.
Impact on your net salary due to increased social security contributions
Prepare for receiving a lower net salary in 2025. Suppose you earned and are earning 8000 € gross per month in 2024 and 2025. The table below shows the impact on your net income in 2025.
Impact of increase of social security contributions in 2025
If you are an employee, your employer will contribute around 50% to your social security contributions. This means you’ll get 89.4 € (178.8/2) less every month in 2025. It amounts to 1072.8 € of lost income in 2025.
Thanks for sharing your feedback on our different products and guides. We have updated them based on your suggestions.
Guide on "Capital gains tax" - Updated the guide to clarify the following topics: "Advanced tax", "Tax on ETFs", and "Tax on futures and options."
Citizenship test questions - Corrected the name of the current German chancellor and current head of state. We will also provide a PDF containing all the questions and answers for people joining the free citizenship test course.
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Public health insurance additional contributions in 2025
Public health insurance companies have more than doubled their additional contribution amount in 2025. You can check which health insurer increased it and by how much in our guide.
95% of the services offered by all public health insurance companies are the same. The reason is that the government regulates health insurers and ensures they provide the same coverage.
This is why locals switch to a public insurance company that charges lower premiums.
You can compare the premium you pay with your current public insurer and potential savings here.
The information provided here is based on our own experience and in-depth research. The content might be inaccurate. It should not be considered financial, insurance, tax, legal, or any kind of advice.
We are not certified brokers or consultants. Always do your research and contact certified professionals before making any decision.
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