Taxes 2022: With these adjusting screws there is more net than gross

Created: 01/16/2022, 06:06

More net from gross in 2022 © Rüdiger Wölk/Imago

Higher allowances will reduce the tax burden for many employees this year.

An overview with tables.

Munich - Good news for employees and pensioners.

In the new year, almost everyone can expect a little more net from the gross.

The reason: the basic tax allowances are increasing.

And in the case of social insurance, the contribution burden remains largely constant – on average at 19.975 percent.

This results from the following developments:

• The contribution rate for pension insurance remains unchanged at 18.6 percent.

  Insured pay 9.3 percent of it.

  An increase is expected by 2024 at the latest.

• The contribution to unemployment insurance is still 2.4 percent.

  Employees pay half of that.

  The contribution rate for long-term care insurance is 3.05 percent for insured persons with a child.

  Employers and employees share this.

• There is a surcharge everywhere for childless people.

  This year, this increases from 0.25 to 0.35 percentage points.

  Nationwide, only the insured bear it (without employer participation, special regulations apply in Saxony).

• The statutory health insurance remains at a contribution rate of 14.6 percent.

  In addition, there is an “insurance-specific additional contribution” – on average 1.3 percent.

Taxes 2022: Allowances reduce the tax burden for employees

However, the differences between the funds are still considerable.

The improved regulations on the deductibility of pension insurance contributions and the basic tax allowance, which will be raised from 9744 euros to 9984 euros, will have a positive impact on tax this year.

Furthermore, the benchmark values ​​of the income tax rate will be adjusted.

If you imagine a coordinate system, the tax rate is shifted “to the right” by 1.17 percent.

This is intended to compensate for the "cold progression".

Otherwise, the progressive tax rate – i.e. increasing with increasing gross income – would lead to wage increases in connection with inflation being at least partially “eaten up” by higher taxation.

Social security contribution rates 2022

numbers in percent

Since employees with very high incomes in particular benefit from tax relief, they record a particularly high net plus.

Here are some sample calculations:

■ Employees in tax class I or IV, who earn a gross monthly income of 6,000 euros, still get a monthly plus of 20 euros (with children, no church tax) – without further tax deductions.

At 8000 euros gross it is already 28 euros.

For comparison: At 2000 euros gross/month, the plus is only six euros.

■ Single parents: The 2020 Annual Tax Act fixed the tax relief for single parents, which was initially only increased by €2,100 due to the corona virus, permanently at €4,008 per year from 2022.

This amount applies to the first child.

For each additional child, 240 euros are added.

A relief amount of 4008 euros brings single parents with a monthly gross income of 3000 euros an annual relief of around 1000 euros!

In most cases, however, the income (and thus the tax relief) of those affected is far lower.

How the monthly net wage changes*

*Assumptions: tax brackets I/IV, no church tax, with child(ren), statutory health and nursing care insurance, 1.3% additional health insurance contribution 2022