Overview

• The labor ministry’s draft would raise the monthly assessment limit to €8,450 for pensions and to €5,812.50 for statutory health and long‑term care, reflecting a 5.16% rise in 2024 wages.
• The threshold to leave statutory health insurance for private coverage would climb to €6,450 per month, with a new annual limit of €77,400.
• The text has been circulated for inter‑ministerial consultation and still requires cabinet sign‑off and Bundesrat approval before taking effect in 2026.
• Based on the draft and unchanged contribution rates, a typical very high earner would pay about €1,784 more in annual social contributions, according to FAZ calculations.
• Employer and taxpayer groups warn of higher labor costs, unions and left‑wing parties call for broader financing reforms, and analysts caution many could also face rising sickness‑fund surcharges.