The new calculation parameters in social security determine the assessment ceilings that are decisive for insurance law as well as for contribution and benefit law related to social security. The following calculation parameters apply for the year 2023:

• Employees are not subject to statutory health insurance if they earn more than €66,600 per year or more than €5,550 per month.

•  Health and long-term care insurance contributions are calculated based on an annual maximum of € 59,850 or a monthly maximum of € 4,987.50.

• The assessment ceiling for pension and unemployment insurance is €85,200 in the federal states Brandenburg, Mecklenburg-Western Pomerania, Saxony, Saxony-Anhalt, and Thuringia (hereinafter jointly referred to as the “New Federal States” and €87,600 in the other German federal states (hereinafter jointly referred to as the “Old Federal States) per year. Pension and unemployment insurance contributions are calculated from a maximum of €7,300 (Old Federal States) or €7,100 (New Federal States) per month.

• The reference amount in social security insurance is set at €3,395 (Old Federal States) or €3,290 (New Federal States) per month, i.e., €40,740 (Old Federal States) or €39,480 (New Federal States) per year.

• The marginal earnings threshold has been € 520 per month since 1 October 2022.

The general contribution rate for health insurance remains at 14.6% (plus an individual additional contribution depending on the health insurance fund). The pension insurance contribution rate also remains at 18.6%, while the contribution rate for unemployment insurance is 2.6%. The contribution rate for long-term care insurance remains at 3.05%. The contribution rate to long-term care insurance for childless persons who have already reached the age of 23 remains at 3.4%. The contribution surcharge for childless persons, which continues to be borne by the employee alone, remains at 0.35%. Since 2022, childless persons pay (1.525% + 0.35% =) 1.875%, while employers continue to pay 1.525% of the total 3.4%.

Contributions to health, long-term care, pension and unemployment insurance – as well as the additional contribution if the health insurers levy one – are once again to be borne in equal parts by employers and employees as of 1 January 2019 (exceptions apply to the federal state of Saxony. Here, the employee pays 2.025% and the employer 1.025% of the contribution to long-term care insurance).

• Non-cash remuneration values: The value for meals will increase from €270 to €288 per month from 2023. Accordingly, €2 for a breakfast and €3.80 for a lunch or dinner per calendar day are to be applied for meals provided at a reduced price or free of charge. The value for accommodation increases from €241 to €265. In the case of an apartment provided free of charge, the customary local rent shall apply as a matter of principle. Special conditions apply to accommodation in the employer’s household or for young people and trainees and when the accommodation is occupied by several employees.

• Artists’ social security contributions (Künstlersozialabgabe): The artists’ social security contributions are levied as a contribution . After no adjustment was made for 2022, the contribution for 2023 now increases to 5%.

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