Working residents of Germany in 2017 will put a little more money in their pockets
As «Russkaya Germaniya» notes, the point is that from January 1, the minimum income not subject to tax increases by 168 euros (to 8820 euros). In addition, child-related expenses increase by 54 euros (the tax-free portion of these expenses is increased to 2358 euros). Thus, for a family with two children and an income of two thousand euros, the increase will be 11.67 euros. If the income of such a couple is 2500 euros, then the plus will be up to 15.50 euros. Even a single worker with a gross salary of 1000 euros can rejoice at an additional 1.67 euros.
Actually, the salary increase could be more substantial. The problem, however, is that simultaneously with the tax relief, from the new year, contributions to long-term care insurance will increase by 2.55-2.8%. In addition, social insurance contributions will also rise. That is why many German experts are now demanding further changes to the country's tax legislation. For example, Professor Hechtner believes that immediately after the Bundestag elections in autumn 2017, politicians "must prepare a tax reform that would significantly reduce the financial burden on working residents of Germany."
The tax burden in Germany is indeed high. According to the Taxpayers' Union, the average fiscal burden on German citizens has remained virtually unchanged in recent years, averaging between 48 and 51%. Therefore, the union's leadership was not surprised by calculations prepared by experts from the European Central Bank (ECB), according to which Germans are poorer than Greeks!
Even though the average wealth in Greece has decreased by 40% over the past five years, this amount is still higher than in Germany: 65,100 versus 60,800 euros! It should also be particularly noted that during this period, Germans' incomes grew by 10%!