Local Guide

🇩🇪Freelancing in Germany

Everything you need to know to run a compliant and profitable freelance business in Germany, from taxes and legal structures to getting paid globally.

Need-to-Know Insights

1

Germany distinguishes between "Freiberufler" (freelance professionals in IT, design, writing, consulting) and "Gewerbetreibender" (tradespeople). Freiberufler status exempts you from trade tax (Gewerbesteuer) — classification matters greatly.

2

The Kleinunternehmerregelung (small business regulation) lets you avoid charging VAT if your revenue was under €22,000 last year and is under €50,000 this year. You cannot reclaim VAT on business purchases, however.

3

Health insurance is mandatory. As a freelancer, you can choose between public (gesetzliche) or private (private) health insurance. Public insurance costs ~14.6% of income; private can be cheaper for younger, healthy individuals.

Ready to get to work?

Create a compliant invoice in EUR (€) in seconds. No sign-up required.

Quick Stats

  • Local CurrencyEUR (€)
  • Average Hourly Rate (Tech)€50 - €120
  • Freelancer StatusFreiberufler (liberal profession)

Tax Landscape

Regulated by: Finanzamt (Local Tax Office)

  • Income Tax14% - 45% (Progressive)
  • Solidarity Surcharge5.5% on income tax
  • VAT (Umsatzsteuer)19% (Threshold: €22k Kleinunternehmer)

Popular Payment Methods

SEPA TransferPayPalStripeWise