German income tax (Einkommensteuer) has no tax bands in the usual sense. Instead, § 32a of the Income Tax Act (EStG) sets out a formula: after a tax-free basic allowance, the rate on each extra euro rises smoothly until it reaches a flat top rate. This guide explains the 2026 tariff in English, with every figure calculated live by the Germany income tax calculator.
The short answer
In 2026 the first slice of taxable income is tax-free. This basic allowance (Grundfreibetrag) is:
€12,348Above it, the rate on the next euro starts at 14% and climbs to 42%, which applies to taxable income above €69,878. A top rate of 45% applies above €277,825. For a married couple assessed jointly, all of these thresholds are in effect doubled.Federal Ministry of Justice
The five tariff zones
The tariff has five zones. In the two middle zones the rate on each extra euro rises in a straight line, so it climbs without sudden jumps all the way to the start of zone 4. The only step is at the start of zone 5.
| Zone | Taxable income (single) | Rate on the next euro |
|---|---|---|
| 1 | Up to €12,348 | None |
| 2 | Above that, up to €17,799 | Rising from 14% to 24% |
| 3 | Above that, up to €69,878 | Rising from 24% to 42% |
| 4 | Above that, up to €277,825 | 42% |
| 5 | Above €277,825 | 45% |
The 42% rate is often called the top rate (Spitzensteuersatz), and the 45% rate the “rich tax” (Reichensteuer). Well-paid employees often reach the first of these, while the second affects very few people. The law also says how to round: taxable income is rounded down to whole euros, and so is the tax.
How the formula works
In zones 2 and 3 the law gives a formula rather than a single rate. Zone 2 takes the part of your income above the basic allowance, measured in units of ten thousand euros, and applies a short quadratic formula to it. Zone 3 does the same for the part above the end of zone 2, then adds the full tax for zone 2. The result is a rate on each extra euro that rises steadily through both zones.
In zones 4 and 5 the formula is simpler: a flat percentage of your whole taxable income, less a fixed amount. In zone 4 that amount is €11,135.63, and in zone 5 it is €19,470.38. The deduction is what makes the flat rate apply, in effect, only to the income inside the zone. On €100,000 of taxable income, 42% of the whole amount less the zone 4 deduction gives €30,864, after rounding down to the euro.
Income tax at common incomes
These are 2026 figures for a single person with no children and no church tax. They are for taxable income, not salary: see the last section for the difference.
| Taxable income | Income tax | Solidarity surcharge | Average rate | Rate on the next euro |
|---|---|---|---|---|
| €20,000 | €1,570 | €0.00 | 7.8% | 24.7% |
| €30,000 | €4,217 | €0.00 | 14.1% | 28.2% |
| €40,000 | €7,209 | €0.00 | 18% | 31.7% |
| €50,000 | €10,548 | €0.00 | 21.1% | 35.1% |
| €60,000 | €14,233 | €0.00 | 23.7% | 38.6% |
| €80,000 | €22,464 | €251.56 | 28.4% | 42% |
| €100,000 | €30,864 | €1,251.16 | 32.1% | 42% |
| €150,000 | €51,864 | €2,852.52 | 36.5% | 42% |
The average rate here includes the solidarity surcharge; the last column is the income tax tariff alone.
| Line | Year |
|---|---|
| Taxable income | €60,000.00 |
| Income tax (basic tariff) | €14,233.00 |
| Total tax | €14,233.00 |
| Left after tax | €45,767.00 |
Marginal rate and average rate
Two different rates matter. Your average rate is your total tax divided by your taxable income. Your marginal rate is the tax on your next euro. On €60,000 of taxable income the average rate is 23.7%, but the next euro is taxed at 38.6%.
The marginal rate tells you what a pay rise, a bonus or an extra deduction is worth. A work expense of €1,000 that you can deduct saves around the marginal rate on it, not the average rate. The average rate tells you what share of your income goes in tax overall, and it always stays below the marginal rate in a tariff like Germany’s.
The solidarity surcharge adds a twist. Where it is being phased in, it adds a lot to each extra euro of tax. On €100,000 of taxable income the next euro costs 47% including the surcharge, while on €150,000, where the surcharge is fully phased in, it costs 44.3%.
Splitting for married couples
Married couples and registered partners who are not permanently separated can be assessed jointly (Zusammenveranlagung). The tax office then uses the splitting method (Splittingverfahren): it works out the tax on half of the couple’s combined taxable income and doubles it.
| Combined taxable income | Single person on this income | Married couple, joint assessment |
|---|---|---|
| €60,000 | €14,233 | €8,434 |
| €100,000 | €30,864 | €21,096 |
| €150,000 | €51,864 | €40,728 |
Splitting helps most when one partner earns much more than the other, and not at all when both earn the same. If each partner has €50,000 of taxable income, each would pay €10,548 on their own, which is exactly half the joint figure on €100,000. The tax classes on your payslips are only an advance on this joint result, as our guide to German tax classes explains.
The solidarity surcharge exemption
The solidarity surcharge (Solidaritätszuschlag) is 5.5% of your income tax, but only if that tax is above €20,350 for a single person or €40,700 for a couple assessed jointly. Just above the threshold it is capped at 11.9% of the excess, so it fades in rather than jumping.Federal Ministry of Justice
For a single person, €70,000 of taxable income pays €0.00 in surcharge, €80,000 pays €251.56 and €100,000 pays €1,251.16. A married couple on a joint €150,000 pays only €3.33, because their threshold is twice as high.
Church tax on top
Members of a church that levies church tax (Kirchensteuer) pay 8% of their income tax in Bavaria and Baden-Württemberg and 9% elsewhere. On €60,000 of taxable income in Berlin that is €1,280.97 a year.Federal Ministry of Justice Church tax you pay is itself deductible in your tax return as a special expense (Sonderausgabe).
Child benefit or child allowance
Parents get help for each child in one of two ways, whichever is worth more. Child benefit (Kindergeld) is €259 a month per child, paid during the year. The alternative is the child allowances: €3,414 per parent for the child’s basic needs (Kinderfreibetrag) and €1,464 for care and education, doubled for a couple assessed jointly.Federal Ministry of Justice
In your assessment the tax office checks which is better (Günstigerprüfung). If the allowances save more tax than the child benefit you received, it deducts them and adds the child benefit back to your tax.Federal Ministry of Justice For most families the child benefit wins. A couple on a joint €60,000 with one child pays €8,434, the same as without a child, and simply keeps the child benefit. On a joint €200,000 with two children, the allowances win: income tax is €59,748 after the child benefit is added back, against €61,728 without children.
The allowances always reduce the solidarity surcharge and church tax, whichever way the check goes. That is why the same couple’s surcharge falls from €2,502.33 to €1,527.00.
Taxable income is not your salary
The tariff applies to taxable income (zu versteuerndes Einkommen), which is well below gross salary for most employees. From your salary the tax office deducts work-related expenses, at least the employee allowance of €1,230, then most of your pension, health and care contributions and other allowable expenses.Federal Ministry of Justice So the income tax calculator is for when you know your taxable income, for example from last year’s tax assessment notice (Steuerbescheid).
If you want to start from a gross salary, use the Germany net salary calculator instead. It follows the payroll’s own method, which makes these deductions for you. The Germany net salary guide explains each step.
Income tax and the wage tax on your payslip
If you are employed, you pay most of your income tax during the year as wage tax (Lohnsteuer), withheld by your employer each month. The payroll applies this same tariff to an estimate of your taxable income for the year, built from your salary, your tax class and standard allowances.
After the year ends, your actual income tax can be set in an assessment, based on your tax return (Steuererklärung). Wage tax already withheld is credited against it, so the result is a refund or a bill for the difference. Many employees file voluntarily because they expect a refund, for example when their work expenses were higher than the employee allowance. Some must file, including married couples who use tax classes III and V and people with other income above certain limits.Federal Ministry of Justice
Work out your own income tax
Enter your taxable income, whether you are assessed alone or jointly, your children and church membership to see your 2026 income tax, solidarity surcharge and church tax.
€10,548.00
- Income tax (Einkommensteuer)
- €10,548
- Solidarity surcharge (Solidaritätszuschlag)
- €0.00
- Church tax (Kirchensteuer)
- €0.00
- Effective tax rate
- 21.1%
- Marginal rate incl. Soli and church tax
- 35%
- Income tax marginal rate (tariff)
- 35.1%
- No solidarity surcharge: the tax base of €10,548 is not above the €20,350 threshold.
- Enter taxable income (zu versteuerndes Einkommen): income after work expenses, insurance and other deductions, not your gross salary.
Total tax: €10,548.00 21.1% of taxable income
Show the breakdown
| Line | Year |
|---|---|
| Taxable income | €50,000.00 |
| Income tax (basic tariff) | €10,548.00 |
| Total tax | €10,548.00 |
| Left after tax | €39,452.00 |
- Left after tax€39,45279%
- Income tax€10,54821%
For take-home pay at common salaries, see €60,000 after tax in Germany.
These figures follow the 2026 tariff in § 32a EStG and the Solidarity Surcharge Act. They are estimates, not tax advice. The calculator does not apply church tax caps or special rates for particular kinds of income.