2026 Germany Hourly Net Minimum Wage: Who Will Earn How Much?
The hourly minimum wage in Germany is making a significant leap as of 2026. While the gross figure is widely discussed in public, the main question that employees and employers are curious about is: “How much does a gross minimum wage of €13.90 translate to net (take-home)?”
These figures are critically important for professionals planning to work in Germany, companies sending personnel from Turkey to Germany, and employers who need to accurately plan payroll costs.
What Will the Minimum Wage Be in Germany in 2026?
The German government is raising the minimum wage with a two-phase plan proposed by the independent Minimum Wage Commission (Mindestlohnkommission). The table for 2025 and beyond is briefly as follows:
- 2025 hourly gross minimum wage: €12.82
- Hourly gross minimum wage as of January 1, 2026: €13.90
- Hourly gross minimum wage as of January 1, 2027: €14.60
The increase in 2026, rising from €12.82 to €13.90, represents a notable increase of 8.42%. This increase is part of a trend that will continue towards €14.60 in 2027.
Initially, the coalition government had articulated a more ambitious target of €15 for 2026. However, due to the economic contraction experienced by Germany for two consecutive years, potential pressures on employment, and concerns from the business world, political decision-makers agreed on a more cautious increase.
Gross – Net Difference: How Much is the Net Minimum Wage for €13.90 Hourly Minimum Wage?
The minimum wage in Germany is always stated as “gross” (brutto). The net amount that the employee receives varies according to tax and social security deductions. Therefore, there is no single fixed answer to the question of “2026 Germany hourly net minimum wage,” but there are reasonable ranges we can refer to.
Factors Considered in Net Wage Calculation
- Tax class (Steuerklasse) – Single (I), married (III), number of children, etc.
- Mandatory social insurance premiums:
- Pension insurance
- Health insurance
- Unemployment insurance
- Care insurance
- Income tax and solidarity surcharge (limited effect on low incomes)
- Church tax, if applicable
When the hourly gross minimum wage is €13.90 in 2026, with generally accepted estimates:
- Hourly gross: €13.90
- Hourly net (single, childless, tax class I): approximately €10.50 – €11.20
- Hourly net (married, with children, advantageous tax class III, etc.): around €11.20
For a single and childless employee, with a practical assumption:
- Employee share of social security deductions: Approximately €1.40 – €1.50 per hour
- Income tax and supplements: Approximately €0.50 – €0.70 per hour
- Total deduction: €1.90 – €2.10 per hour
- Estimated net: €13.90 – ~€2.00 ≈ €11.00 (with slight variations based on personal circumstances)
These figures are based on reasonable market estimates considering the projected tax brackets, basic tax exemptions, and current social security rates for 2026. To see the exact amount, one should use a current gross-net calculator or consult a tax advisor in Germany.
Estimated Monthly and Annual Net Minimum Wage (Full-Time)
The common assumption for full-time work in Germany is approximately 173 hours per month based on a 40-hour work week and about 4.33 weeks.
- Monthly gross (173 hours x €13.90): approximately €2,406
- Monthly net (single, tax class I): approximately €1,820
- Monthly net (married, with children, advantageous tax class): approximately €1,900 – €1,950
- Annual gross: approximately €28,870
- Annual net: approximately €21,800 – €23,400
These can vary based on individual factors, the state you are in, your insurance system, and specific deductions. Nevertheless, they provide a reliable reference framework when moving to Germany, negotiating salaries, planning budgets, or analyzing payroll costs.
How Will the Mini-Job (Geringfügige Beschäftigung) Limit Be Affected in 2026?
In Germany, employees working under the marginal employment model known as “mini-job” can benefit from certain tax and insurance advantages when they earn up to a specified upper limit. This limit is directly indexed to the minimum wage.
- Current mini-job earnings limit: €556
- When the minimum wage is €13.90 in 2026: The limit will be increased accordingly.
What does this mean?
- Someone working under a mini-job can earn a higher monthly gross income without tax and employee share of social security deductions.
- Employers will need to reassess their mini-job strategies, shift planning, and budgeting.
- Attraction will increase for seasonal jobs, students with side jobs, and part-time workers.
Especially in labor-intensive areas such as retail, hospitality, and food sectors, the increase in the mini-job limit will become a significant parameter in payroll planning.
How Many People Will Be Affected? Which Sectors Stand Out?
Approximately 6.6 million jobs are expected to be affected by the 2026 minimum wage increase. This corresponds to a significant portion of the German workforce. The most affected sectors include:
- Retail and merchandising
- Hospitality and food service (HoReCa)
- Logistics, warehousing, and distribution
- Cleaning, maintenance, and security services
- Agriculture and seasonal labor (regionally and seasonally)
These sectors are at the center of cost calculations in both Germany’s labor policies and in sending employees from Turkey and other countries to Germany.
History of Minimum Wage in Germany: From 2015 to 2026
Germany implemented its national minimum wage system in 2015. The initial rate was €8.50 per hour. Since then, the minimum wage has regularly increased based on:
- Inflation
- Collective agreements
- Economic growth and productivity
The levels reached in 2025 at €12.82 and the planned €13.90 for 2026 are concrete reflections of Germany’s policy to protect the purchasing power of low-income workers.
However, studies indicate that the “living wage” for a single adult in 2026 should be around €14.50. This shows that the minimum wage still offers a limited standard of living in larger cities (Munich, Frankfurt, Hamburg, Berlin, etc.).
Who is Covered by the Minimum Wage, Who is Excluded?
The legal minimum wage rule in Germany generally covers all employees over 18 years old. This includes:
- Full-time employees
- Part-time employees
- Foreign employees (EU and non-EU)
- Those under marginal employment (mini-job)
Some exceptions include:
- Interns (e.g., mandatory university internships)
- Those undergoing vocational training (Ausbildung)
- Volunteers
- Long-term unemployed who are starting a new job (first 6 months under certain conditions)
These exceptions vary according to specific legal frameworks and types of contracts. Detailed official information can be found on the minimum wage page of the German customs authority (Minimum Wage Act – Zoll).
Compliance Guide for Employers in 2026–2027
The increase in the minimum wage not only provides employees with higher net income but also imposes serious compliance obligations on employers. Especially if a company in Turkey is sending personnel to Germany by establishing a branch or company or through the posted worker model, it must adhere to these rules meticulously.
Updating Payroll and Human Resources Systems
Since there will be a two-phase increase process in 2026 and 2027, companies need to:
- Update payroll software and parameters according to the levels of €13.90 and €14.60,
- Recalibrate shift, overtime, and bonus calculations based on the new hourly gross wage,
- Ensure working hours and total earnings in mini-job and part-time contracts comply with legal limits,
hence.
Budgeting and Personnel Cost Planning
Businesses with a high proportion of employees earning minimum wage or close to it should:
- Recalculate the total payroll burden due to the increase in per capita hourly costs,
- Consider this increase in annual budgeting and pricing strategies,
- Especially in small and medium-sized enterprises (SMEs), update profitability projections.
Internationally operating groups will also need to reassess the new minimum wage structure in Germany in terms of inter-country wage balance, transfer pricing, and tax optimization.
Legal Compliance and Audits
Compliance with the minimum wage is strictly monitored in Germany, and violations can lead to serious administrative fines. Therefore, employers should:
- Review all employment contracts for compliance with the 2026 and 2027 rates,
- Accurately record employees’ actual working hours and paid wages,
- Ensure 100% compliance with the host country’s minimum wage legislation, especially in cross-border personnel assignments (posted workers).
Information on compliance with minimum wage and working conditions for foreign employers in Germany can again be found on the Zoll – Minimum Wage Act page.
For Companies Sending Personnel from Turkey to Germany: The Net – Gross – Total Cost Triangle
Companies based in Turkey that:
- Employ workers by opening a company/branch in Germany,
- Send engineers, technicians, IT specialists, or blue-collar workers for projects,
- Export services under the posted worker model,
require strategic planning for the increase in the minimum wage in 2026.
The key questions here will be:
- “What should the minimum gross be according to German legislation?”
- “Will the personnel be satisfied with the net amount they ultimately receive?”
- “What is the total cost for the employer (gross wage + employer’s share of insurance + ancillary costs)?”
- “Is this still profitable with our cost structure and pricing in Turkey?”
Corpenza addresses all these questions integratively from the perspective of company establishment in Germany, payroll (EOR/payroll), posted worker structures, and tax optimization. Thus:
- It becomes possible to design net salary levels that ensure employee satisfaction,
- Contracts and payroll designs that fully comply with the legal minimum limits in Germany,
- The most efficient employment and company formation model from the employer’s perspective,
together.
For Those Considering Working in Germany: Living Standards with €13.90 Gross
Someone planning to work full-time in Germany with an hourly gross of €13.90 (approximately €11 net) in 2026 should budget, especially considering the following items:
- Rent: €600–800 in East Germany or small cities; €900–1,300 and above in large cities
- Basic expenses (food, transportation, energy, internet): €400–600
- Health insurance: Often automatically deducted from gross, so it should also be considered in net calculations
- Unexpected expenses and savings: Aim for €150–300
A monthly net of €1,800–1,900 allows for a reasonable and controlled living in small to medium-cost cities, while it offers a more limited standard of living in high-cost cities like Munich or Frankfurt. Therefore, for professionals planning to move to Germany:
- City selection,
- Rental market,
- Transportation costs,
are as decisive as the minimum wage.
How Does Corpenza Add Value?
The increase in the minimum wage in Germany in 2026 is not just about the question “how many euros will be earned per hour?”; it is also intertwined with company formation, payroll management, tax planning, and international mobility strategy.
As Corpenza, we provide end-to-end support in:
- Company formation on a European and global scale (including Germany),
- Management of residence and work permit processes,
- International accounting, payroll (payroll/EOR), and compliance,
- Tax and social security optimization when sending personnel abroad under the posted worker model,
- Investment-based residence and citizenship programs,
in various fields.
Specifically in Germany; we analyze the impact of the minimum wage increases in 2026 and 2027 on your company’s business model and profitability, helping you establish a payroll and contract architecture that balances your employees’ net income expectations with the legal minimum thresholds.
Conclusion: Correctly Interpreting the 2026 Germany Net Minimum Wage
In summary:
- The hourly gross minimum wage in Germany will be €13.90 in 2026; this corresponds to a net range of approximately €10.50–11.20 under average conditions.
- For a full-time employee, this means a net income of approximately €1,800–1,900 per month.
- The mini-job limit will increase in line with the minimum wage; this will raise the income ceiling that can be earned without tax and insurance deductions.
- Approximately 6.6 million jobs will be directly affected by this increase; particularly the retail, hospitality, and food sectors will stand out.
- For employers, this process requires careful management of payroll system updates, budget revisions, and legal compliance.
Whether you are a company planning a new structure in Germany or a professional considering moving to Germany; understanding the balance between gross and net minimum wage, living costs, and the tax/social security dimension holistically is the key to making sound decisions.
Disclaimer
The information contained in this text is prepared solely for general informational purposes. The statements here do not constitute legal, financial, or tax advice in any way. Minimum wage, tax rates, social security deductions, and related legislation may change over time; they may yield different results based on your individual situation.
Before making any decisions, it is advisable to check current official sources (e.g., relevant ministries and official institutions in Germany) and seek professional support from an authorized lawyer, financial advisor, or tax consultant when necessary.
