In 2024, current medical expenditures in Germany, which totaled €528.5 billion, were financed in large part by private households, which contributed €286.8 billion, or 54.3 percent. According to data released by the Federal Statistical Office (Destatis) on Thursday, this level represents an increase of €23.1 billion, or 8.7 percent, compared to the preceding year. Critically, the financing share from private households-which includes employee social security contributions-returned to a level similar to pre-pandemic figures (54.7 percent in 2019), after having dropped to 49.5 percent between 2020 and 2022.
The costs are shared among several groups, including private households, businesses, the government, and non-profit private organizations.
When comparing the sectors to the previous year, business contributions showed the strongest percentage growth. They rose by €14.3 billion, or 9.5 percent, reaching €164.5 billion. In contrast, the government’s contribution remained nearly static, increasing only slightly by €54 million, or 0.1 percent, to €73.9 billion. The non-profit private organizations financed healthcare services with their own funds, increasing their contribution by 3.4 percent to €3.3 billion.
Specifically, the financing shares in 2024 were: private households at 54.3 percent (up from 53.7 percent), businesses at 31.1 percent (up from 30.6 percent), and the state at 14.0 percent (down from 15.0 percent in 2023). The share contributed by non-profit organizations fell from 0.7 percent to 0.6 percent.
Of the €286.8 billion financed by private households, nearly half (€136.5 billion) consisted of employee social security contributions. One-fifth (€59.5 billion) came from other domestic income, covering expenses such as care services (both ambulatory and stationary) and the purchase of non-prescription products from pharmacies. These components saw growth: employee social security contributions increased by €11.5 billion (9.2 percent), while other domestic income rose by €3.1 billion (5.6 percent).
For businesses, 85.0 percent of their total contribution of €164.5 billion was allocated to employer social security contributions. This specific financing method grew by €12.1 billion (9.5 percent) compared to the previous year, reaching €139.9 billion.
The government financed 90.1 percent of its €73.9 billion contribution through transfers and subsidies. These included the annual federal subsidy to the health fund and aid provided by public employers. However, Destatis reported that transfers and subsidies actually decreased by €579 million (0.9 percent) compared to the preceding year, totaling €66.6 billion.
