What Is Considered A Good salary in Germany? [Detailed 2023 Guide] (2023)

So you’re wondering what a good salary in Germany is? You might have gotten a job offer and don’t want to be getting less than the average salary in Germany, or you want to know how much money you need to cover your basic expenses?

A good salary in Germany is the one that will allow you to afford the lifestyle that you want. Anything above47.700 euros a year (gross)will place you in Germany’s above-average range of income.

In this guide, we will dive deep into salaries in Germany so you can better assess where you stand and whether you need to negotiate your salary with your future employer.

Table of Contents

What is Considered a Good Salary in Germany?

If you ask ten people what a good salary in Germany is, you will get ten different responses; this is a very subjective question, and the answer depends on lifestyle and location. In some cities, you will earn more; however, the average cost of living might also be higher.

StepStone, a job listing site in Germany, did a salary study in 2021 where they analyzed 250.000 salary data points. In their report, they surveyed Germans and found that 43% said they were happy with their yearly gross salary of 64.253 euros. 41% of the Germans said they were not happy with their salary of 49.630 euros a year. So even though they earn above average in Germany, they did not feel that was enough.

If you’re looking for the answer to how much things cost in Germany, we have written a detailed guide on thecost of living in Germanywhere you can assess how much you can expect to spend on things.

If you are moving to Germany from abroad and have a job contract, you need to know that you should be receiving a minimum salary to get your work permit or EU Blue Card.

(Video) Salaries in Germany 2023 | Working in Germany [English]

Salary Requirement For Blue Card In Germany

The minimum gross salary in Germany for an EU Blue Card is 58.400 euros per year. For in-demand professions in the fields of mathematics, computer science, natural science, engineering, and human medicine (excluding dentistry), a lower minimum gross salary of 45.552 euros a year applies for the EU Blue Card.

Salary Requirement For Work Permit In Germany

Should you not qualify for the EU Blue Card, your German employer needs to pay you the same salary as your German co-workers get paid. To prevent exploitation, this is one of many things the German Federal Employment Agency checks before permitting your future employer to actually employ you.

What Is The Minimum Wage In Germany?

As of October 1st, 2022, the minimum wage in Germany is12,00 euros per hour. The government has declared that after the change on October 1st, 2022, the minimum wage will remain stable for the next 15 months, and they will only reassess it in January 2024.

According to theFederal Statistical Office of Germany, full-time employees work on average 41 hours a week. So the grossminimum wage for a full-time employee on a four-week month would be 1.968 euros.

Part-time employees work on average 19,5 hours a week, making their minimum wage936 euros.

What Is The Average Wage In Germany?

According to Statista, in 2021, the average gross annual salary in Germany was47.700 euros a year, or 3.975 euros a month.

The numbers above are for all of Germany. However, the average gross salary will depend greatly on your location, professional experience, education, size of the company, and gender. Yes, you read that right: gender.

Average Gross Salary In Germany By Gender

As in any other part of the world, Germany also struggles to decrease the gender pay gap. Although there are a lot of initiatives in Germany to breach the gap,studies still showthat men earn more than women. On average,men earn 49.752 euros a year (gross), and women 42.936 euros a year (gross).

If you would like to find a company that strives to reduce the gender pay gap and value diversity in their company, you can check the job listings in a great initiative called50inTech.

Average Gross Salary In Germany By Location

The location also plays a significant role in the average income in Germany. According to the website calledgehaltsvergleich.com, the average gross salary in the most popular cities for expats is:

(Video) What is a good salary in Germany? 🇩🇪 (Ultimate Guide)

  • Munich: 45.360 euros per year (gross)
  • Düsseldorf: 43.512 euros per year (gross)
  • Stuttgart: 45.048 euros per year (gross)
  • Hamburg: 41.700 euros per year (gross)
  • Frankfurt: 45.276 euros per year (gross)
  • Berlin: 38.016 euros per year (gross)
What Is Considered A Good salary in Germany? [Detailed 2023 Guide] (1)

Now, it is important to highlight that the costs of living are also very different in every city. For example, Munich and Frankfurt are the most expensive cities in Germany. In comparison, Berlin and Düsseldorf are in the middle.

Related Guide:Best Cities To Live In Germany [For Expats]

You can also use a website likeNumbeoto check the cost of living in the city in Germany you would like to move to.

In Germany, high taxes and social contributions are deducted from your salary every month (roughly 40%). And the gross wage is not what you will be seeing in your bank account. You can use anonline calculator to estimate your disposable income(amount after paying taxes and social contributions).

Average Gross Salary In Germany By Profession and Work Experience

Your monthly salary will also depend on your profession and experience level. Below is a list of some of the most popular professions in Germany for expats. You can click on each link, which will take you to Gehalt.de, a website with detailed information on how much you can expect to earn in your profession.

If you don’t find your profession listed above, checkGehalt.de.

Average Gross Salary In Germany by Company Size

According to astudy done by the job listing website Stepstone in 2019, the company’s size highly affects whether you will get an above or below the average wage. Companies with 500 employees or less pay around 10% less than the average. Companies with 501-1.000 employees pay roughly 2% above average. And a corporate company with more than 1.000 employees pays around 16% more than the average pay.

Please take this with a grain of salt, as it highly depends on the company and your profession.

The same study found that product managers and IT managers earn well above average in large companies.

(Video) Living and Working in Germany as a Foreigner: Salaries in Germany 2023!

Is 60.000 Euros A Good Salary In Germany?

60.000 euros a year in Germany is considered a good gross salary as it is well above the average salary of 47.700 euros a year for the whole country. Most Germans who earn 60.000 euros or more are very happy with their salary.

However, whether this salary is enough for you or not, depends on your lifestyle and the size of your family. For example, your diet, transportation, entertainment options, size and location of your apartment, how often you shop, etc.

What is Your purchasing power with Your salary in Germany?

Your salary in Germany might not mean much if you don’t know how many goods and services you will be able to purchase with it.

So let me introduce an economic concept calledpurchasing power parity. Don’t worry; I won’t dig deep into this concept and will try to keep it as simple as possible.

Purchasing power parity (PPP) is a metric used in macroeconomics to compare the number of goods and services you can buy in different countries. Economists create a basket of goods and services that can be purchased in every country and use it as a base for their comparison. It is a tough job to come up with this metric, and it is not perfect; however, it is the best one we have found to give you an idea of how far your euros can take you in Germany.

The most popular purchasing power parity ratio is theBig Mac Index. So how can you use the price of a burger to figure out your purchasing power in Germany?

In our calculations below, we need to make sure we are working with the same currency, so we will need to convert everything into US dollars.

Step 1: we will figure out how many Big Macs you can purchase in your country with your current salary.

  1. Find the price for theBig Mac in US dollarsin your country. I’ve gathered a selected list below:
    – USA: US$5,15
    – UK: US$4,48
    – India: US$2,34
    – Mexico: US$3,67
    – Turkey: US$2,50
    – Germany: US$5,00
  2. Convert your net salary to US dollars
  3. Divide your current net salary in US dollars by the price of the Big Mac in your country

The result will tell you how many Big Macs you can currently buy in your country.

Step 2: we need to calculate how many Big Macs you could purchase in Germany.

(Video) Ultimate German Tax Guide 2023 | PerFinEx Taxes

  1. If you already have a job offer, estimate your disposable income (net salary) with anonline calculator.
  2. Convert your net income into US dollars
  3. Divide your net income in US dollars by the price of the Big Mac in Germany (5 US dollars)

The result will tell you how many Big Macs you can purchase in Germany with your job offer.

Example: Now let’s look at an example to explain this concept better. I am from Guatemala, and I am earning an exceptionally goodnet monthly salaryof 20.000 Quetzales (Guatemalan currency), which equals around 2.550 US dollars.

The Big Mac Price in Guatemala is 3,31 US dollars. So I would be able to purchase770 burgers with my income in Guatemala.

Imagine I get a job offer in Germany for 59.000 euros a year (gross); this is a little above the minimum threshold for an EU Blue Card. The job offer is for Düsseldorf, which is in North Rhine-Westfalia. I am single, and I don’t paychurch tax. Using thesalary calculator, I estimate my net monthly income will be 3.059,27 euros or 3.286,71 US dollars. With this salary, I would be able to purchase664 burgers with my income in Germany.

Now at first glance, it’s obvious that my purchasing power will decrease in Germany as I will have fewer burgers, so to speak. However, what is important to highlight in this calculation is that the result will provide a general sense ofa standard of livingand does not consider thequality of life in each country.

Quality of life is one of the main reasons people move to Germany, as there are a lot of social security services to benefit from, education is free, there is minor corruption and violence.

So yes, in Guatemala, I would have a higher purchasing power because the cost of services is lower, and I would be earning a well-above-average pay. So I could have a regular cleaning service and a nanny (if I had kids). However, the health, political and educational system are among the worst in the world.

So at the end of the day, I rather have fewer burgers to eat and have a high quality of life than have a lot of burgers in a dangerous and corrupt environment.

Final Thoughts

Only you can answer whether a salary is good for you or not. You will need to consider your cost of living, disposable income, purchasing power, and quality of life in a country.

I hope this guide has guided you in what the average gross salary for your profession in Germany is to feel comfortable accepting the job offer or feel empowered to negotiate for a higher salary that will allow you to buy more burgers 🍔.

(Video) Secrets to a good salary in Germany| Tips to negotiate for a good salary in 🇩🇪 | Detailed guide


What salary is top 5% in Germany? ›

For single people, earning 4.560 euros would put them in Germany's top 5 percent, and earning 7.190 would set them within the country's richest 1 percent.

How much money do you need to live comfortably in Germany? ›

On average, to cover your living expenses in Germany you will need around 934 euros per month (around $906 US dollars) or 11,208 euros per year (around $10,876 US dollars). The prices for food, accommodation, bills, clothes and entertainment are basically in line with the EU average.

Is 50000 euros a good salary in Germany for a family? ›

€50,000 per year is a good salary to lead a decent life. Which is around €4,200 per month. Your net salary after taxes would be €2,584 if you are single and €2,935 if you are married.

Is 5000 euro a month good salary in Germany? ›

Yes, it is ! if take home (netto) is 5000€ pm it's definitely a good salary for PAN-Germany. It means you are getting approx. €100k, which is a decent salary.

What is considered wealthy in Germany? ›

In its most recent figures from December 2021, the Institute for German Economy (IW) found that a single person earning €3,700 a month after taxes qualifies as rich, as that puts them in the top ten percent of earners in the country.

What salary is top 1% in Germany? ›

To reach the top 1 percent of earners, you would need a monthly take-home salary of 7.190 euros. This is equivalent to an annual net income of almost 86.000 euros, after taxes, or an annual gross salary of around 150.000 euros.

Is it cheaper to live in Germany or USA? ›

When considering the cost of living in Germany vs. the U.S., you'll find that the cost of living in Germany is nearly 19% lower. Munich is the most expensive city in Germany, and yet consumer prices are 32.5% lower than in New York City and 14% lower than in Los Angeles.

Can a retired American live in Germany? ›

Who is eligible to retire in Germany? Germans happily welcome international individuals to retire in their country since they will not be relying on a salary to make a living. In addition, they will be content to welcome you into their country if you have sufficient financial means and health insurance.

What is middle class income in Germany? ›

Reading note for Panel B: A single person in Germany with an annual disposable income between USD 23 000 and USD 30 000 is considered to be part of the lower middle-income group; a person with a disposable income between USD 46 000 and USD 61 000 is part of the upper middle-income group.

What is the average income in Germany in US dollars? ›

Average income around the world
RankCountryAvg. income per year
17Austria52,760 $
18Germany51,660 $
19Belgium50,490 $
20Israel49,290 $
65 more rows

Is 70000 a good salary in Munich? ›

At 70k annual salary, you will have a comfortable life in any part of Germany. While Munich and Stuttgart are relatively expensive compared to rest of Germany, its not close to the costs of a global city (London, Paris, Amsterdam etc).

How much does a doctor get paid in Germany? ›

The average monthly salary for a physician in Germany is roughly 8,960 EUR. Typical salaries range from €3,290 to €15,100 per year.

How much money a month do you need to live in Germany? ›

All told, how high is the cost of living in Germany? According to Destatis, it adds up to €2,507 a month, with 37% of this going towards housing and energy costs and 15% on food, alcohol, and tobacco (as of September 2022). If you calculate this on an annual basis, the average cost of living in Germany is €30,084.

What is a good salary in Munich? ›

For a student, Munich's living costs would amount to an average of €1,318. At the same time, as an expat with a salary of €4,987, you can expect to spend about €3,787 a month. That is if you get all the good and quality stuff! to really live comfortably in Munich you should earn a gross monthly salary of €5,000.

How much tax do I pay in Germany? ›

All German residents must pay taxes in Germany. If you earn the median income, you keep around 65% of your gross income. Around 35% of your income goes to taxes and social contributions. If you earn more money, you keep a smaller part of your gross income.

What is considered upper middle class Germany? ›

To consider yourself upper-middle-class, then you should earn between 2.805 euros and 4.673 euros net per month as a single household, and anything over 4.673 euros net is considered to be relatively wealthy.

What percentage of Germans are millionaires? ›

Countries by number and percentage of millionaires
Country or subnational areaNumber of millionairesShare of global millionaires (%)
Germany *2,683,0004.4
Canada *2,291,0003.0
Australia *2,177,0003.2
Italy *1,413,0002.6
43 more rows

Where do millionaires live in Germany? ›

Cost of Living

Hamburg has the highest density of millionaires and its vast corporations in the media, entertainment and commercial industry have established a strong economy.

Are salaries in US higher than Germany? ›

German salaries are as much as half of that in the USA, most of the times. Income taxes and social contributions would bite a huge percentage off of your salary. In addition, the sales tax is 19%, which is higher than in the USA. In a nutshell, less money in your bank at the end of the month.

What are high paid salaries in Germany? ›

As a result, they are often some of the highest-paid professionals in the country, with salaries ranging from 70,000 to 120,000 euros per year.
Top Recruiters.
Sr. No.Top recruitersAvg. Annual Salary
1.RGT consultants€93.930
2.Gurcan Partners Law Firm€60,000
3.Hengeler Mueller€48,696
Feb 6, 2023

What is a normal salary increase in Germany? ›

According to recent wage negotiations, German workers can expect an average wage increase of about 2.5% in 2023. This is slightly more than the average wage increase of 2.3% in 2022.

Are taxes higher in Germany or USA? ›

US, Germany's tax rate is relatively high in comparison. Though you pay more to German tax authorities up front, the benefit you gain is savings on your US tax return when filing with the IRS as an American expat living in Germany. Taxable income in Germany is employment income, post allowable and standard deductions.

Should an American retire in Germany? ›

Germany has become a popular destination for American retirees due to its reasonable costs, excellent healthcare system and well-kept infrastructure. The weather may not be on the level of Thailand or Portugal, but if you don't mind some chilly winters, Germany could be the retirement destination you're looking for.

How difficult is it for an American to move to Germany? ›

It is not difficult to move to Germany from the US if you have a valid reason, such as a job offer, a letter of acceptance from a German university, or wishing to join your partner. However, generally speaking, everyone outside the EU/EEA or Switzerland needs a solid reason to receive a German residence permit.

What happens to my Social Security if I move to Germany? ›

If you have Social Security credits in both the United States and Germany, you may be eligible for benefits from one or both countries. If you meet all the basic requirements under one country's system, you will get a regular benefit from that country.

Does Germany tax US Social Security benefits? ›

Social Security – The benefits provided in the United States – Germany Tax treaty will also provide relief once you begin receiving social security payments. The treaty provides that the distributions are taxed only in your country of residence.

Does America allow dual citizenship with Germany? ›

Retention Permit to keep German citizenship when naturalizing in the US / “Dual citizenship” German citizens who wish to naturalize in the US require a so called Retention Permit to keep German citizenship (“Beibehaltungsgenehmigung”) in order not to lose their German citizenship through naturalization abroad (Sect.

How much do Millennials earn in Germany? ›

In 2021, 16 percent of German millennials had 500 to 1,000 euros worth of net income. 2 percent had one of 5,000 euros or more.

How much does it cost to buy a house in Germany? ›

Most city properties are apartments, with houses more commonly available in suburban areas. Broadly speaking, rural areas tend to be cheaper than cities. Research by the property portal Immowelt found that houses in Germany averaged €2,800 per square meter in early 2022, while flats cost €3,200.

Is it better to work in USA or Germany? ›

Ans. USA is better in terms of annual salaries and job opportunities. Also, Germany has higher taxes than the US so it is better to work in US after completing your studies.

Does Germany tax US income? ›

Americans earning income in Germany will need to pay US taxes—that is, unless you can eliminate your tax liability using the Foreign Earned Income Exclusion, foreign tax credits, and the foreign housing exclusion. The US-Germany Tax Treaty helps prevent double taxation for expats.

How much does the average German work? ›

The usual weekly working hours of all employed persons in 2021 in Germany amounted 34.7 hours. As the number of hours worked depends considerably on the proportion of part-time employed, full-time employees (40.5 hours per week) and part-time employees (20.8 hours per week) should be examined separately.

Is 100K a good salary in Munich? ›

Is 100K gross per year a decent salary for a project manager in Munich? I'd say that it's more than decent, certainly enough for a pretty carefree lifestyle, even given the elevated cost of living in Munich.

Is 140K a good salary in Munich? ›

EUR 140K per annum is an insanely high salary in Germany, perhaps aside from upper management in corporations, or maybe some specialist doctors/lawyers/etc.

Is 90000 a good salary in Munich? ›

Absolutely yes - it's easily enough to afford a good place to live in Munich's crazy rent market (just don't expect a penthouse) and whatever reasonable expenses you might have.

Who earns more dentist or doctor? ›

dentist salary in india, an average salary for a Dentist in India is ₹307491. Visit PayScale to research dentist salaries by city, experience, skill, employer and more. MD doctor salary in india ranges between ₹ 0.8 Lakhs to ₹ 27.4 Lakhs with an average annual salary of ₹ 8.0 Lakhs.

How much does a dentist make in Germany? ›

The average salary for a Dentist is €2,576 per month in Germany. The average Dentist salary in Germany is €30,912 per year. Entry level Dentist positions start at €21,804 per year.

Which European country pays doctors the most? ›

Annual gross salaries of specialists (2020)

They are Ireland (€172,882), the Netherlands (€160,869), Denmark (€156,061), and Iceland (€155,276). Germany (€146,200) and the UK (€136,375) followed closely.

How much do you spend on groceries per month in Germany? ›

Food prices in Germany are lower than in most EU countries. There are many supermarkets and farmers' markets in the state. About €550 per month will be needed to buy food, including the purchase of wine and beer.

How much can you save living in Germany? ›

You will need approximately INR 74,229 a month to cover your cost of living in Germany In Indian Rupees as of 2021. On average, to cover your living expenses in Germany, you will need around INR 74,229 per month or INR 890,752 per year.

What is the top 10 percent income in Germany? ›

Data published by the Institute for German Economy found that any single person earning 3.700 euros per month after taxes is considered part of Germany's rich, in the top 10 percent of earners. For a couple without children, earning a combined net salary of 5.550 euros will place them in the top 10 percent.

Is 50k a good salary in Germany? ›

€50,000 per year is a good salary to lead a decent life. Which is around €4,200 per month. Your net salary after taxes would be €2,584 if you are single and €2,935 if you are married.

Is 75k a good salary in Munich? ›

If the 75k is your gross salary, then yes you can have a decent live, but don't expect that you will save a lot of money for later on … and if you ever get kids you will have to cut costs wherever you can. If the 75k is your net salary, then yes this is a very good salary for a family of 2 in Munich.

Is Health Care Free in Germany? ›

Yes, all Germans and legal residents of Germany are entitled to free “medically necessary” public healthcare, which is funded by social security contributions. However, citizens must still have either state or private health insurance, covering at least hospital and outpatient medical treatment and pregnancy.

How much does a German pay for healthcare? ›

Cost: The price of German public health insurance contributions (what you pay on a monthly basis) depends on your income. It can range from 14.6% to 15.6% of your salary per month. Therefore, the higher your salary, the more you will have to pay for health insurance.

How do Germans pay for healthcare? ›

Country overview. Health insurance is mandatory in Germany, with nearly universal coverage. The statutory health insurance (SHI) system consists of 110 sickness funds (acting as third-party payers) covering around 88% of the population.

What is a high paid profession in Germany? ›

Doctors earn the most money in Germany

Doctors are, once again, Germany's best-paid professionals, raking in an average of 92.597 euros per year. They are followed by engineers and IT professionals, who have become increasingly important over the course of the coronavirus pandemic.

What is the highest salary job in Germany? ›

Top 10 Highest Paid Professions in Germany 2022 - 23
  • Researchers in Biotechnology and Neuroscience. ...
  • Surgeons and doctors. ...
  • Judges. ...
  • Bank managers. ...
  • Director of Finance. ...
  • Tourism and hospitality professionals. ...
  • Engineering professions. ...
  • Sales managers.
Aug 3, 2022

What is the most respected job in Germany? ›

The greatest demand in Germany is for the following professions:
  • Doctors. Doctors in private medical institutions have a high salary. ...
  • IT specialists. Today, IT professionals are popular in almost all European countries. ...
  • Engineers. ...
  • Lawyers. ...
  • Economists and top managers. ...
  • Handymen. ...
  • Cleaning. ...
  • Care for the elderly.
May 5, 2022

What is the average cost of living in Germany? ›

The cost of living: average values for Germany in 2022

According to Destatis, it adds up to €2,507 a month, with 37% of this going towards housing and energy costs and 15% on food, alcohol, and tobacco (as of September 2022). If you calculate this on an annual basis, the average cost of living in Germany is €30,084.

What is the salary after Masters in Germany? ›

The average salary after MS in Germany ranges between €46,000 and $ 110,000 yearly.

Is 4k good salary in Germany? ›

Yes, it's a good salary, allowing you a good quality of life & savings rate. "Easy" savings rate of €1k / month, frugal savings rate of €2k / month. Taxes: assuming you're single.

Which is better for living USA or Germany? ›

Ans. USA is better in terms of annual salaries and job opportunities. Also, Germany has higher taxes than the US so it is better to work in US after completing your studies.


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