When you move to Germany, you will find a well ordered, clean country to live in, and if you fit in with the regulations they will also help you. This article explains how to get social insurance in Germany.
Anyone who’s interested in relocating to Germany has to learn how to get social insurance and security. While the country’s social insurance and security system can be quite complicated, you can cut through the red tape by understanding how the process works. About 90% of the country’s population participates in the social security programme, and it includes several benefits such as welfare aid, work related accident insurance and nursing care among others. Before you leave the UK
Be sure to inform the Department for Work and Pensions before you move, they may be able to advise you further. It is an offence not to do so!
How to Benefit from Germany’s Social Insurance
The German social security system is compulsory and the contributions are dependent on your earnings. It will be deducted automatically from your salary if you work as an employee. The majority of self-employed individuals in the country also contribute to a variety of insurance funds so they can receive the maximum benefits.
Everyone needs Social insurance, including expats. For instance if you are moving to Germany with your family you can be eligible and apply for Kindergeld for your children (child allowance), and if you get retirement benefits after working in the country for an extended period, you can avail of those benefits even if you retire abroad. To make it simple, anyone who contributes to German social insurance and security will get benefits.
Types of Social Insurance and Security in Germany
Social security in Germany is arranged in three categories: tax based benefits, welfare funds where employee and employer share cost, and funds exclusively paid by the employer. With regards to employer financed benefits the most significant is Unfallversicherung, or insurance for work related accidents. This includes cover for illnesses related to work as well as accidents that arise on your way to work. Obviously there is a lot more to this, so before you hire a removal company in the UK and pack, take the time to study the matter so you know exactly what you are getting so you can avoid any misunderstanding.
Employer and Employee Shared Cost Benefits
The costliest aspects of German social security are the retirement and healthcare benefits so they are shared by the employee and employer. Employees have to shoulder 9.8%, which is obtained from their gross income and put into the pension and retirement fund. The contribution for nursing care is 9.975% and health insurance 7.3%, and employers are required to contribute the same percentage. Although this appears to take a good percentage of your earnings, it is cost effective when you most need it.
Except for the self-employed, social security contributions in Germany are deducted automatically from employee wages. You will get an idea of your financial share by checking your pay slip, as it is stated there. If you made the proper contributions to insurance and security you will receive nearly 67% of your income (net average) for your pension.
Although the system does sound complicated, it is logical, and when you know the right questions to ask, depending on whether you are going to work as an employee in Germany, be self -employed or simply retire, there is always someone ready to help you. But if you have decided to live in Germany, do take the time to plan your move with care.
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