Your German Payslip, Explained

First payslip arrived and you have no idea what half of it means? Every abbreviation, deduction and line item explained in plain English.

🇩🇪 Germany 🇬🇧 In English Gehaltsabrechnung Lohnabrechnung Entgeltabrechnung

What is a Gehaltsabrechnung?

Your German payslip goes by several names — Gehaltsabrechnung, Lohnabrechnung, or Entgeltabrechnung. They all mean the same thing: a monthly breakdown of what you earned, what was deducted, and what landed in your bank account.

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Your employer is legally required to give you a payslip every month. They must also keep copies for 6 years — so you can always request missing ones.

A German payslip has three main sections:

SECTION 1
Personal Information
Your name, address, tax ID, employee number, tax class, religion (for church tax)
SECTION 2
Earnings & Deductions
Gross salary, taxes (Lohnsteuer, Soli, KiSt) and social insurance contributions (KV, PV, RV, AV)
SECTION 3
Net Pay & Totals
Your take-home pay (Auszahlungsbetrag), year-to-date totals, bank account details
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Expect ~35–45% deductions. As a rule of thumb, assume roughly 40% of your gross salary goes to taxes and social insurance. The exact amount depends on your income level, tax class, number of children, and health insurance choice.

Interactive Payslip

Click any row to see what it means. This is a typical payslip for someone earning €4,000/month gross in Steuerklasse I.

Max Mustermann · Musterstraße 1 · 60001 Frankfurt
Gehaltsabrechnung · Oktober 2025 · Arbeitnehmer-Nr. 00042
Steuerklasse
I
Bezüge (Earnings)
Grundgehalt Grundgehalt 4.000,00 €
Steuerliche Abzüge (Tax Deductions)
LSt. Lohnsteuer –570,00 €
SolZ Solidaritätszuschlag –0,00 €
KiSt. Kirchensteuer –0,00 €
Sozialversicherung (Social Insurance)
KV Krankenversicherung –352,00 €
PV Pflegeversicherung –72,00 €
RV Rentenversicherung –372,00 €
AV Arbeitslosenversicherung –52,00 €
Auszahlungsbetrag (Net pay to your account) 2.554,00 €
Grundgehalt Base Salary
Your fixed monthly salary as agreed in your employment contract. This is your gross salary — before any taxes or social insurance contributions are taken out. Everything else on the payslip is a deduction from this number.
Expat tip: Job adverts in Germany always quote gross annual salary. Divide by 12 for monthly gross. Expect roughly 60–65% of this as take-home after all deductions.
Lohnsteuer Income Tax
Germany's income tax, withheld directly by your employer and paid to the Finanzamt (tax office) on your behalf. The rate is progressive — starting at 14% for low incomes and rising to 42% (or 45% for very high earners). Your actual rate depends heavily on your tax class (Steuerklasse). This is the biggest single deduction on most payslips.
Expat tip: You can often reclaim some Lohnsteuer via your annual Steuererklärung (tax return) — e.g. for commuting costs, home office, or work equipment. Many expats get €500–1,500 back.
Solidaritätszuschlag Solidarity Surcharge
A surcharge introduced in 1991 to finance German reunification. Since 2021, about 90% of employees pay zero Soli — it only kicks in if your annual income tax exceeds ~€18,130/year (roughly €100,000+ gross). If you see 0,00 € here, that's normal and expected.
Expat tip: If you earn a typical expat salary (€50–80k), you almost certainly pay no Soli. It's not a mistake if this line shows zero.
Kirchensteuer Church Tax
An additional tax of 8% (Bavaria & Baden-Württemberg) or 9% (all other states) of your Lohnsteuer — not of your gross salary. It only applies if you are registered as a member of a state-recognised religious community (Catholic or Protestant). Most expats who registered as having "no religion" (konfessionslos) at the Einwohnermeldeamt pay nothing here.
Expat tip: If you accidentally registered with a religion you don't practice, you can formally leave (Kirchenaustritt) at the local Standesamt or Amtsgericht for a small fee (~€30). It takes effect the following month.
Krankenversicherung Health Insurance
Your contribution to statutory health insurance (gesetzliche Krankenversicherung / GKV). The total rate is 14.6% of gross plus a Zusatzbeitrag (additional premium) set individually by each Krankenkasse. The cost is split equally — you pay half, your employer pays the other half. In 2025 the average Zusatzbeitrag is 2.5%, so a typical total employee contribution is around 8.5–9% of gross.
Expat tip: You can choose your own Krankenkasse (TK, AOK, Barmer, etc.) — rates vary slightly. If you earn over €73,800/year (2025), you can switch to private health insurance (PKV).
Pflegeversicherung Long-Term Care Insurance
Covers nursing care costs if you become unable to look after yourself in old age or due to illness. The total rate in 2025 is 3.6% of gross — shared equally between you and your employer. Childless employees aged 23+ pay an extra 0.6% surcharge. Each child you have reduces your rate by 0.25% (down to a max reduction of 1.0%).
Expat tip: If you declared children on your payroll registration, make sure this line reflects the child discount. At 2 kids your rate should be 1.55% not 1.8%.
Rentenversicherung Pension Insurance
Germany's statutory state pension contribution. Total rate is 18.6% of gross, split 50/50 — you pay 9.3%, your employer pays 9.3%. Contributions build up your future German pension entitlement. Only applies up to the Beitragsbemessungsgrenze (BBG) — in 2025 that's €8,050/month. Income above that cap is contribution-free.
Expat tip: If you leave Germany before retirement, you may be able to get your contributions refunded (Beitragserstattung) — but only if you've paid in for less than 5 years and your home country has no bilateral social security agreement with Germany.
Arbeitslosenversicherung Unemployment Insurance
Funds unemployment benefits (Arbeitslosengeld). Total rate is 2.6% of gross, split equally — you pay 1.3%. After 12 months of contributions within the past 2 years, you qualify for Arbeitslosengeld I — roughly 60% of your previous net salary for up to 12 months.
Expat tip: This is one of the most valuable contributions for expats. If you're made redundant and have paid in for at least 12 months, register at the Agentur für Arbeit immediately — you have only 3 days to register before benefits are reduced.

All Abbreviations Decoded

German payslips love abbreviations. Here are the most common ones you'll see, with English translations.

AN-Nr. / Personal-Nr.
Arbeitnehmer-Nummer
Your employee ID number — internal to your company
StKl. / SKl.
Steuerklasse
Tax class (1–6). Determines how much income tax is withheld monthly
Ki.Frbtr. / ZKF
Kinderfreibetrag
Child tax allowance. 0.5 per child if one parent claims; 1.0 if both parents are on same payslip
Konf. / Rel.
Konfession / Religion
Religion (RK = Catholic, EV = Protestant, — = none). Determines if Kirchensteuer applies
Geb.Dat.
Geburtsdatum
Your date of birth — affects PV surcharge (childless over age 23)
SV-Nr.
Sozialversicherungsnummer
Your social security number — needed for pension records. Keep this safe
St.Tg.
Steuertage
Tax days — usually 30 for a full month. Affects pro-rated calculations
Gesamtbrutto / St.Btto
Gesamtbruttogehalt
Total gross salary including all bonuses and allowances — the taxable base
LSt.
Lohnsteuer
Income tax withheld at source
SolZ / Soli
Solidaritätszuschlag
Solidarity surcharge — 0 for most employees since 2021
KiSt. / KiStEV / KiStRK
Kirchensteuer
Church tax — EV = Protestant, RK = Catholic
KV / GKV
Krankenversicherung
Health insurance contribution (employee share)
PV
Pflegeversicherung
Long-term care insurance contribution
RV
Rentenversicherung
Pension insurance contribution
AV
Arbeitslosenversicherung
Unemployment insurance contribution
AG-Anteil
Arbeitgeberanteil
Your employer's share of social insurance — shown for info, not deducted from you
AN-Anteil
Arbeitnehmeranteil
Your own share of social insurance — this IS deducted from your salary
VWL / VL
Vermögenswirksame Leistungen
Capital-forming benefit — employer contribution to savings. Ask HR if you're entitled
E. / Einmalbez.
Einmalbezug
One-off payment (e.g. Christmas bonus, Weihnachtsgeld) — taxed differently
Auszahlungsbetrag
Auszahlungsbetrag
Your actual net take-home pay — what arrives in your bank account
bAV
Betriebliche Altersvorsorge
Company pension — reduces gross before tax. Ask HR if available
BBG
Beitragsbemessungsgrenze
Contribution ceiling — income above this limit is exempt from that contribution

The 6 Tax Classes (Steuerklassen)

Your tax class is one of the most important numbers on your payslip. It determines how much income tax is withheld each month — it doesn't change how much you ultimately owe, but it affects your monthly cash flow.

Class Who it applies to Monthly tax withholding
I Single, divorced, widowed, or separated
The default for most expats arriving in Germany		 Standard rate — most common
II Single parents
With at least one child living in your household		 Slightly lower — includes Entlastungsbetrag (relief amount)
III Married / civil partnership — higher earner
Only valid in combination with partner in Class V		 Lowest withholding — good for the main breadwinner
IV Married / civil partnership — both similar earners
Both partners choose Class IV		 Same as Class I — avoids year-end surprise tax bill
V Married — lower earner
Partner must be in Class III		 Highest withholding — lower earner subsidises the main earner's benefit
VI Second job or additional employment
Always applied to the lower-paying job		 Highest of all — no allowances applied
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Class III/V warning: Couples in III/V typically owe money at year-end because tax is underpaid at source. File your Steuererklärung (tax return) to balance this out. Class IV/IV avoids this problem.
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Default for expats: If you registered at the Einwohnermeldeamt as single, you'll be in Class I automatically. You can request a change once married by visiting your Finanzamt — it takes 4–6 weeks to process.

Social Insurance at a Glance (2025)

All four social insurance contributions are split 50/50 between you and your employer. The rates below are your employee share.

Contribution Abbr. Your share What it covers Ceiling (BBG / month)
Health Insurance KV 7.3% + ½ Zusatzbeitrag Doctor visits, hospital, sick pay €5,512.50
Long-Term Care PV 1.8% (with children)
2.1% (childless)		 Nursing care in old age €5,512.50
Pension Insurance RV 9.3% State retirement pension €8,050.00
Unemployment Insurance AV 1.3% Unemployment benefit (60% of net) €8,050.00
Total (approx.) SV ~20.7% Full social safety net —
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The Zusatzbeitrag (KV top-up) varies by Krankenkasse. In 2025 the average is 2.5% total — you pay half (1.25%). TK charges 2.45%, AOK varies by region. You can switch Krankenkasse once per year if yours raises its rate.
Calculate your exact net salary
Enter your gross, Steuerklasse and KV Zusatzbeitrag → see every deduction broken down
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Expat Payslip Checklist

First payslip arrived? Run through this list to make sure everything is set up correctly.