Overview
- Roughly 50–51 percent of employees receive a year‑end bonus, rising to about three‑quarters under collective agreements, while many non‑tariff workers get little or none.
- Employees have a claim only via contract, collective agreement or established company practice; a Federal Labor Court ruling (Az. 10 AZR 116/22) limited unilateral cuts even after a full year of illness.
- Tariff‑covered workers averaged about €2,987 gross in 2024, with collectively agreed sums reported up to €4,235; IG Metall examples range from 25–55 percent of a monthly wage in metalworking to 100 percent in chemicals and confectionery.
- Bonuses are fully taxable as “other remuneration” with social contributions due, triggering higher withholding in the payout month so net amounts are often well below a regular month’s take‑home pay.
- Civil‑service payments vary widely by Land, with some jurisdictions folding former special payments into base pay and others paying fixed sums or percentages; pensioners and Bürgergeld recipients have no general right, and any bonus from work counts as income that can reduce benefits, with rare local exceptions such as Burghausen.