Published: 30.06.2026
Germany levies a 18.6% pension-insurance contribution and a 2.6% unemployment-insurance contribution on employment income, subject to an annual income ceiling of EUR 101,400. Employers also pay a 0.15% insolvency contribution up to the same ceiling.
According to the source, employment in Germany involves mandatory social-security contributions, with the pension and unemployment-insurance rates stated as system-wide rates. For a relocating worker, these contributions affect net-income calculations and comparisons between job offers. The employer separately pays the insolvency contribution, so that part does not directly reduce the employee’s salary. The rule is particularly relevant when building a relocation budget from a gross salary figure.