Starting January 1, 2026, several reforms will take effect in Germany, directly impacting incomes and daily life.
The minimum wage will rise to €13.90 per hour. Apprentices will also benefit, with the minimum monthly allowance in the first year of training increasing to €724. At the same time, the maximum threshold for so-called “mini-jobs” will rise from €556 to €603 per month.
The basic tax-free allowance will increase to €12,348 annually. Pensions are expected to rise by about 3.7 percent from July, with additional tax benefits for those seeking to boost retirement income. Child benefits will also increase by €4, reaching €259 per child per month.
Under the new military service law, mandatory registration will be reinstated. Beginning in 2026, all 18-year-olds will receive a questionnaire to assess their suitability and motivation for service in the German armed forces (Bundeswehr).
Sources - Agencies
