What changes now in 2019

Tax allowances, insurances, money bills, taxes, levies....

In 2019, the legislator passed new values or laws for health insurance, taxes, levies and allowances. Our NEWS team has summarized some of these. If you have any questions or need further information, simply contact your GELDPILOT24 store.

Child benefit and allowances

From July 2019, each child will receive ten euros more child benefit per month. For the first and second child 204 euros, for the third 210 euros and each additional 235 euros. The tax-free child allowance will increase by 192 euros on 1 January 2019. The basic allowance will rise to 9,168 euros in 2019.

Occupational pension provision

The companies must then pay 15 percent of the converted contribution to the company pension scheme to the respective pension institution. This applies to new deferred compensation agreements for direct insurance, pension funds and pension funds. Whether these 15 percent will ultimately end up 1:1 in the contract of the respective employee depends on the specific provision in the collective agreement. This only applies if the income threshold for social security contributions is not exceeded.

Improved customer information for insurance companies

A new information sheet will be mandatory from January 2019 when taking out liability, household contents or occupational disability insurance. Insurers will then have to inform their customers in good time about the type of insurance, the scope of the risks covered, premiums and their method of payment as well as exclusions on a maximum of three pages before signing. It must also state the duration, start and end dates of the contract and the obligations of the customer to be reimbursed by the insurer.

Security for transfers

The iTAN procedure will end on 14 September 2019. From then on, transfers will only be possible using the TAN procedure with two identification procedures. In addition to the user name and password, consumers can then choose between SMS, smartphone photo TAN, fingerprint, voice recognition or TAN generator for the second step.

Relief for employees of statutory health insurance funds

From 2019, the additional contribution will be paid equally by the employee and the employer. Previously, health insurance fund members had to pay the additional contribution on their own.

Reduction in unemployment insurance contributions

At the turn of the year, a change in the law will permanently reduce the contribution to unemployment insurance from three percent to 2.5 percent of gross income.

Tax for reinvesting funds

These funds do not distribute dividends and profits, but invest them again and again. From January onwards, investors will have to pay a fictitious tax every year on the appreciation of their fund. It is calculated by the custodian institution at the beginning of 2019 and collected from the investor's account, taking into account the exemption order.

500-euro note to have longer

Austria and Germany will continue to issue banknotes until 26 April 2019, contrary to the other 17 national central banks of the Eurosystem. The banknotes in circulation will remain valid.

New euro banknotes

From 28 May 2019, new 100- and 200-euro banknotes will be issued which are counterfeit-proof. Besides other new security features of the 100 or 200 note, the value appears as an emerald number which changes its colour when the banknote is tilted slightly.

Tax advantage for business bicycles

Those who also use their company bicycle privately will no longer have to share the profit with the tax office from 2019. This applies for the time being until 2021. This applies both to e-bikes with speeds of up to 25 kilometres per hour and to normal bicycles. The tax exemption does not apply to models that finance e-bike leasing in the form of salary conversion.

Contributions to long-term care insurance

The contribution rate increases by 0.5 percentage points. This means that 3.05 percent of the gross wage is due as a nursing care contribution. Those without children must pay 3.3 percent.

Social Bots

Social bots must be labelled as such in the future. These are programs that automatically post content on social networks.

Slowing rent increases

The allocation of modernisation costs will be more strictly limited. In areas with a rent brake, landlords must state how much the pre-rent was and why. The Ministry of Justice has also announced that the rent index will be reformed and will refer to a longer period.

Tax liability of pensions rises

The taxable pension share rises from 76 to 78 percent. Only 22 percent of the first full gross annual pension remains tax-free. This share applies to pensioners who will be added in 2019. For existing pensions, the fixed tax-free pension amount remains unchanged.

Pension increase and pension adjustment

The draft of the 2018 pension insurance report indicates the following for.