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Your German payslip decoded: where 40% of your salary goes

Every deduction decoded: income tax, 17.5% health insurance halved, 18.6% pension halved, care and unemployment insurance. Why €60k gross is ~€3,100 net.

Last updated: July 13, 2026

How much of a German gross salary is left net?

A single employee (tax class I) keeps roughly 58-64% of gross at typical expat salaries: on €60,000 gross expect around €3,050-3,200 net per month in 2026. Deductions are income tax, the 17.5% average health insurance and 18.6% pension (both split with your employer), plus care and unemployment insurance.

The deduction stack (2026)

Line on payslipRateYour share
Lohnsteuer (income tax)progressive 14-45%, Grundfreibetrag ⚠️ VERIFY 2026 (~€12,348) tax-freefull
Kirchensteuer (church tax)8-9% OF the income taxonly if registered church member - see church tax guide
Solidaritätszuschlag5.5% of income tax~90% of earners pay €0 since 2021
Krankenversicherung (health)14.6% + avg 2.9% Zusatzbeitraghalf = ~8.75%
Rentenversicherung (pension)18.6%half = 9.3%
Arbeitslosenversicherung (unemployment)2.6%half = 1.3%
Pflegeversicherung (care)~3.6% ⚠️ VERIFY 2026 + childless surcharge from 23half + surcharge yourself

Social contributions stop at the Beitragsbemessungsgrenzen (contribution ceilings ⚠️ VERIFY 2026 figures) - one reason high salaries net proportionally more.

Reading the payslip lines

Brutto → steuerpflichtiges Brutto (after tax-free items like some allowances) → deductions → Netto/Auszahlungsbetrag. Common extras: geldwerter Vorteil (company car/benefits, taxed!), betriebliche Altersvorsorge (deferred comp, lowers taxable now), vermögenswirksame Leistungen.

Quick sanity table (single, class I, no church tax, 2026 approx ⚠️ calculator has exact)

Gross/yearNet/month approx
€45,000~€2,450
€60,000~€3,100
€80,000~€3,900
€100,000~€4,700

Run your exact numbers in the net salary calculator - Steuerklasse, church tax, children and Kasse choice all shift these.

The levers you control

Tax class (married), church membership (Kirchenaustritt ends the 8-9% surcharge), Krankenkasse choice (2.18% vs 4.39% Zusatzbeitrag - switching guide), tax return (average €1,095 back), and salary-sacrifice pension products. Everything else is fixed by law.

Frequently asked questions

Why is my first month's net lower than calculated?

Possibly class VI (tax ID not yet processed) or one-off setup deductions. It self-corrects; overpaid tax returns at filing.

Is the 13th month salary taxed extra?

It's taxed as "sonstige Bezüge" - feels heavier that month, equalizes over the year.

Employer pays "half" - is that real money?

Yes: the true cost of employing you is ~21% above gross. Relevant when comparing contractor/freelance offers.

Do bonuses hit the same deductions?

Yes, all of them, same rates.

Related guides

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