Number format: this calculator uses German notation throughout — a comma is the decimal separator and a dot groups thousands. “1.234,56” means one thousand two hundred thirty-four euros and fifty-six cents. The figures come from German tax law, so they are shown the way German authorities write them.
Transition zone (Übergangsbereich, “Midijob”)
Monthly pay between 603,01 € and 2.000 €: employees pay reduced social contributions yet earn full pension entitlements.
In plain language
Just above the Minijob there is no hard jump into full deductions. Anyone earning between 603,01 € and 2.000 € a month at first pays only a small part of the usual social contributions; the closer pay gets to 2.000 €, the closer your own share gets to the normal one. The employer bears the rest. There is no disadvantage for your pension: pension entitlements follow your full pay.
In detail
§ 20 (2) SGB IV defines the transition zone from the marginal-employment threshold (2026: 603 €) to 2.000 €. The TOTAL contribution is calculated on the assessable amount BE = F × G + (2.000 ÷ (2.000 − G) − G ÷ (2.000 − G) × F) × (pay − G), with the factor F announced each year (2026: 0,6619). The EMPLOYEE'S share is based on a separate, even smaller amount: 2.000 ÷ (2.000 − G) × (pay − G) — so nil at the lower limit. The employer bears the difference from the total contribution. Pension points are determined from actual pay (§ 70 (1a) SGB VI). Nothing special applies for tax: wage tax is calculated on full pay.
Worked example
1.000 € gross a month, tax class I, no children: your own social contributions are 125,33 € instead of the 217,50 € that full rates would produce. The employer bears 241,07 €. No wage tax arises yet at this pay — 874,67 € remains net.
In brief
The employee's share is calculated on a reduced amount that rises gradually with pay until it equals the full pay.
Legal basis: § 20 (2) and (2a) SGB IV · as at 2026