All Changes Coming to Germany in 2027: Who Wins, Who Loses?

Germany’s Announced or Proposed Changes for 2027

The video categorizes Germany’s announced or proposed 2027 changes as benefits, higher costs, or rule changes. It distinguishes measures presented as settled from those still in draft; draft measures could change.

Retirement Saving and Family Benefits

Altersvorsorge-Depot

The proposed Altersvorsorge-Depot would replace Riester from January 1, 2027. It would allow investments in ETFs and funds, but not individual stocks.

• State subsidy: €0.50 per euro on the first €300 contributed, then €0.25 per euro on contributions up to €1,800.
• Contributing €1,800 a year would therefore receive €540 in state subsidies, or 30% of the contribution, before investment returns. The video says there may be up to €300 extra per child.
• The account is described as available to employees, civil servants, and—newly—self-employed people.
• Funds remain locked until retirement. Early withdrawal or retirement outside the EU would require repayment of subsidies and tax benefits; the video says this does not apply to retirement within the EU.
• Providers still need certification, with the first accounts expected in January. The presenter says Trading 212 has announced two versions with no account fees planned, including a flexible version where users choose ETFs.

Other Family and Tax Allowances

• Kindergeld: Proposed increase from €259 to €267 per child per month, or €96 more per year.
• Kinderfreibetrag: Proposed increase of €300 to more than €10,000. The tax office automatically compares it with Kindergeld. The video says Kindergeld benefits most families, while the allowance tends to be more advantageous at higher incomes.
• Grundfreibetrag: Would rise by more than €200 to above €12,500.
• Arbeitnehmerpauschbetrag: Would increase by €200 to €1,430. The video says both tax allowances are applied automatically.

Contributions, Tax, and Insurance Costs

• Health and long-term-care insurance contribution ceiling: Set to rise by nearly 10% to about €76,500. For someone earning at or above the ceiling, the video estimates roughly €1,400 more in annual contributions, about half paid by the employer.
• Pension contribution ceiling: Set to rise by nearly €5,000 to €106,200. The video estimates about €900 more in annual contributions for affected earners, with about €450 paid by the employee.
• Public health-insurance Zusatzbeitrag: The Ministry of Health reportedly confirmed a 2.9% benchmark on October 30. The video cautions that insurers set their own rates: it cites a current actual average of 3.13%, expects at least 3.1% next year, and says rates range from 2% to above 4%. It suggests checking insurers and switching if a cheaper option is available.
• Private health insurance income threshold: The minimum income for switching to private insurance would rise to €84,150. The video says existing private-insurance members earning less could remain if they choose.
• Top income-tax rates: The video says the 45% rate, which starts at €278,000 this year, would start at €250,000 taxable income next year. A new 47% rate would apply above €280,000 taxable income. It emphasizes that taxable income is not gross salary and estimates that around €300,000 gross salary may be needed to reach the 47% bracket.

Proposed Rental and Parental-Benefit Rules

Mietrecht II

Mietrecht II is a draft that the cabinet passed in April and is now in the Bundestag.

• Furnished-flat surcharges would have to be stated in the contract and would be capped at 1% of the furniture’s value per month. If not disclosed, the flat would count as unfurnished.
• Short-term rental contracts would be limited to six months, extendable to eight months for a special reason. Longer contracts would become normal rental contracts.
• In tight housing markets, only half of an index-rent increase above 3% would count. The video gives a 5% index increase → 4% rent increase example.

Elterngeld

The proposed monthly minimum would rise from €300 to €330, and the maximum from €1,800 to €1,900. The video describes four months reserved for each parent and six more to split; it says the first four months pay 80% of prior net income, then 50%. This remains a draft.

Blue Card Salary Thresholds

• The video says the standard Blue Card salary floor would rise to €53,100 gross per year, linked to half the €106,200 pension ceiling—about €2,400 more than the prior threshold.
• A lower threshold for shortage occupations, recent graduates, and IT specialists without a degree would rise to a little over €48,000.
• The salary check would also apply at renewal and, during the first year, when changing employers. The video says fixed base pay counts; fixed 13th-month or holiday pay may count if guaranteed in the contract. Bonuses usually do not, and treatment of benefits such as a company car depends on the authority.

Investment Promotion and Cautions

The presenter promotes a Trading 212 account, saying they opened one, secured 4.2% interest, and received a free share worth up to €100. They also cite a planned no-fee Altersvorsorge-Depot and a provider calculator.

The video does not name any stock tickers. Assets and products mentioned include ETFs, funds, the Altersvorsorge-Depot, Riester pensions, public and private health insurance, and the Blue Card.

The Trading 212 promotion is a paid partnership. The video’s metadata says the advertised interest includes a new-customer bonus for four months, then is variable; it also notes that capital is at risk and money may be held in money-market funds or with partner banks. No explicit “not financial advice” disclaimer appears in the subtitles.

Presenter and Sources Mentioned

An unnamed PerFinEx presenter; PerFinEx; Trading 212; Germany’s Ministry of Health; the cabinet and Bundestag; and Finanzamt (the German tax office).