Average Salary in Germany 2023: Region, Gender, Education (2023)

FAQs

What is the average salary in Germany 2023? ›

According to a survey by the Federal Statistical Office of Germany, men earn an average of €3,964 per month, while women earn considerably less, at €3,300 per month.

For single people, earning 4.560 euros would put them in Germany's top 5 percent, and earning 7.190 would set them within the country's richest 1 percent.

TV-L E13. Most doctoral positions and some postdoc positions will be categorized as TV-L 13, which can range from about €4100 to €6000 (gross monthly salary).

The median income in Germany is 41,125€ per year. The median income in Berlin is 41,800€ per year. Berlin salaries are lower than in other German cities, ³ but the cost of living is also lower.

€50,000 per year is a good salary to lead a decent life. Which is around €4,200 per month. Your net salary after taxes would be €2,584 if you are single and €2,935 if you are married.

German salaries are as much as half of that in the USA, most of the times. Income taxes and social contributions would bite a huge percentage off of your salary. In addition, the sales tax is 19%, which is higher than in the USA. In a nutshell, less money in your bank at the end of the month.

According to Destatis, it adds up to €2,507 a month, with 37% of this going towards housing and energy costs and 15% on food, alcohol, and tobacco (as of September 2022). If you calculate this on an annual basis, the average cost of living in Germany is €30,084.

Due to the high level of education and training required for this field, actuaries are some of the highest-paid professionals in Germany, with salaries ranging from 70,000 to 120,000 euros per year.

When considering the cost of living in Germany vs. the U.S., you'll find that the cost of living in Germany is nearly 19% lower. Munich is the most expensive city in Germany, and yet consumer prices are 32.5% lower than in New York City and 14% lower than in Los Angeles.

What is the cost of living in Germany compared to us? ›

On average, to cover your living expenses in Germany you will need around 934 euros per month (around $906 US dollars) or 11,208 euros per year (around $10,876 US dollars). The prices for food, accommodation, bills, clothes and entertainment are basically in line with the EU average.

In other words, the higher the income, the higher the rate of tax payable. In 2023 the Germany tax rates for an individual are 14% - 45%. Singles pay on income above EUR 277,825 income tax of 45% before 5.5% solidarity tax and 8%-9% church tax which are imposed on the income tax.

The value of a PhD work contract in Germany is based on the scale for public sector works and is typically between €3,000-4,000 a month (though most student contracts are part-time, pro-rata). Tax and social security are deducted from this salary, but you will receive access to benefits in return.

Initially, the monthly gross basic salary is between approximately 5,400 euros and 6,700 euros. Some higher professorships at universities of applied sciences are also paid according to the W3 scale. The monthly gross basic salary of a W3 professor is between roughly 6,500 euros and 7,600 euros.

The top academic jobs in Germany after PhD are that of professors, lecturers, scientists and researchers. The average PhD stipend in Germany for these jobs is between 60,000 EUR to 75,000 EUR per year (INR 47,83,320 to INR 59,79,150 approximately) depending on the candidate's experience.

In its most recent figures from December 2021, the Institute for German Economy (IW) found that a single person earning €3,700 a month after taxes qualifies as rich, as that puts them in the top ten percent of earners in the country.

Most city properties are apartments, with houses more commonly available in suburban areas. Broadly speaking, rural areas tend to be cheaper than cities. Research by the property portal Immowelt found that houses in Germany averaged €2,800 per square meter in early 2022, while flats cost €3,200.

The average salary after MS in Germany ranges between €46,000 and $ 110,000 yearly.

Is it better to work in USA or Germany? ›

Ans. USA is better in terms of annual salaries and job opportunities. Also, Germany has higher taxes than the US so it is better to work in US after completing your studies.

A. USA provides better job opportunities when it comes to annual salaries. Germany, on the other hand, has a higher tax rate. So, settling in the U.S. after the completion of your studies would be more beneficial.

The low unemployment rate and job opportunities make Germany a desirable place to work in by people around the world – including Americans. Although it is a different work environment and culture (and the language barrier can be tricky), jobs in Germany for Americans are not impossible to find.

A residence visa is required if you intend to stay in Germany for more than 90 days for work or study or if you intend to move to Germany permanently.

Healthcare workers

Since then, healthcare professionals such as doctors, nurses and pharmacists have been in high demand in Germany. The digitisation of the healthcare sector and the retirement of many physicians is the reason why the German healthcare sector needs qualified professionals to fill the vacancies.

Employees earn 22.65 euros per hour

Employees in Germany earned an average of € 22.65 per hour in April 2022. The wage level of € 19.08 in the New Länder was € 4.14 less and well below the average earnings in the Former territory of the Federal Republic (€ 23.22).

Residence and Work Permit

US citizens in possession of a valid US passport do not need a visa for airport transit, tourist or business trips for stays up to 90 days.

US, Germany's tax rate is relatively high in comparison. Though you pay more to German tax authorities up front, the benefit you gain is savings on your US tax return when filing with the IRS as an American expat living in Germany. Taxable income in Germany is employment income, post allowable and standard deductions.

Who is eligible to retire in Germany? Germans happily welcome international individuals to retire in their country since they will not be relying on a salary to make a living. In addition, they will be content to welcome you into their country if you have sufficient financial means and health insurance.

Is it worth moving to Germany? ›

All in all, Germany is a country where you can find both the fast city life or the quiet sub-urban experience, all from a position of safety, security and stability. In short, the country's safety, highly developed infrastructure and robust economy allow Germany to offer you a very stable reason to move to the country.

Key Takeaways. Overall, Europe has a lower cost of living due to lower healthcare expenses, a weakening euro currency, and low inflation. Europeans, however, tend to pay more of their income to taxes, and average wages tend to be lower than in America.

France is a great location to enjoy a more relaxed lifestyle, and being 10% cheaper than Germany, may be a better choice financially for retirees.

Yes, all Germans and legal residents of Germany are entitled to free “medically necessary” public healthcare, which is funded by social security contributions. However, citizens must still have either state or private health insurance, covering at least hospital and outpatient medical treatment and pregnancy.

The OECD average tax wedge in 2021 was 34.6% (2020, 34.6%). In 2021, Germany had the 2nd highest tax wedge among the 38 OECD member countries, occupying the same position in 2020.

The net replacement rate of the German pension (the percentage of your average salary your pension equates to) is 53%. This is below the 2022 OECD average of 62% for men and 61% for women, and the EU average of 68% for men and 67% for women.

Check the formal requirements

A university degree is a general prerequisite to qualify for admission to doctoral studies. Usually, a final grade point average of at least 2.5 on the German grading scale (which equals good or B+) or an examination graded "cum laude" is required.

How much does a German Professor make? As of Feb 28, 2023, the average annual pay for a German Professor in the United States is $63,473 a year. Just in case you need a simple salary calculator, that works out to be approximately $30.52 an hour.

For those of us born after 1967, the age of retirement in Germany begins at 67 years old.

Do teachers pay taxes in Germany? ›

The Federal Fiscal Court of Germany published Decision No. VR 39/20 on 3 December 2021. The court ruled that self-employed teachers providing services for schools as independent teacher are not VAT exempt. Freelancers are only exempt from trade tax (Gewerbesteuer), and not from value-added tax (Umsatzsteuer or Ust).

Average PhD Stipend in Germany

500 EUR/month (INR 40,000/month approx.) The relevance of PhD Stipends in Germany is that it offers great opportunities to PhD students while they are doing their research and working on the PhD programme.

Will a PhD increase my salary? Another factor you might think about when considering a doctorate is whether it'll improve your earning potential. Looking again at the Graduate Outcomes survey from HESA, it does seem that PhD holders are more likely to enjoy higher earnings than people with a Masters degree.

How much does a Phd make in USA? The average phd salary in the USA is $99,500 per year or $47.84 per hour. Entry level positions start at $80,000 per year while most experienced workers make up to $140,000 per year.

What is minimum wage in Germany? Minimum Wages in Germany remained unchanged at 12 EUR/Hour (2034.329 USD/Month) in 2023. The maximum rate of minimum wage for employees was 9.5 EUR/Hour and minimum was 8.5 EUR/Hour. Data published Yearly by DESTATIS.

The cost of living: average values for Germany in 2022

According to Destatis, it adds up to €2,507 a month, with 37% of this going towards housing and energy costs and 15% on food, alcohol, and tobacco (as of September 2022). If you calculate this on an annual basis, the average cost of living in Germany is €30,084.

In its most recent figures from December 2021, the Institute for German Economy (IW) found that a single person earning €3,700 a month after taxes qualifies as rich, as that puts them in the top ten percent of earners in the country.

Employees earn 22.65 euros per hour

Employees in Germany earned an average of € 22.65 per hour in April 2022. The wage level of € 19.08 in the New Länder was € 4.14 less and well below the average earnings in the Former territory of the Federal Republic (€ 23.22).

What is the new minimum wage in Germany? ›

On July 1, 2022, it is due to rise to 10,45 euros per hour. While trade unions have welcomed the increase as “an expression of appreciation for the work of many millions of people,” in the words of the German Trade Union Confederation (DGB), employers have criticised it as an attack on collective bargaining autonomy.

How much does a Decent make? As of Mar 1, 2023, the average annual pay for the Decent jobs category in the United States is $44,910 a year. Just in case you need a simple salary calculator, that works out to be approximately $21.59 an hour. This is the equivalent of $863/week or $3,742/month.

Some other surveys, however, show employer pay increases set to pick up this year. A fall survey by research firm WTW had average estimated salary increases rising to 4.6% in 2023 from actual pay rises of 4.2% last year.

Agriculture, logging and forestry have the highest levels of self-reported happiness — and lowest levels of self-reported stress — of any major industry category, according to our analysis of thousands of time journals from the Bureau of Labor Statistics' American Time Use Survey.

Can Americans Retire in Germany? Yes. Retiring in Germany as an American is quite simple. To stay longer than the 90 days permitted without a visa, you must apply for a temporary resident permit (Aufenthaltserlaubnis).

German salaries are as much as half of that in the USA, most of the times. Income taxes and social contributions would bite a huge percentage off of your salary. In addition, the sales tax is 19%, which is higher than in the USA. In a nutshell, less money in your bank at the end of the month.