According to a report from the “Handelsblatt”, based on the draft of the Care Insurance Act (PNOG) and calculations by the independent consulting institute IGES, well-earning employees should anticipate significantly higher contributions to care insurance as part of the planned care reform.
The draft proposes raising the contribution assessment ceiling starting January 1, 2027. This increase could allow the care insurance system to collect several billion euros in additional revenue in the coming years. Specifically, the plan aims to elevate the care insurance contribution ceiling to the level of the annual employee earnings limit set by statutory health insurance.
IGES estimates that the current ceiling of 69,750 euros in 2026 could rise to approximately 75,815 euros in 2027. Furthermore, the legislation draft mandates raising the contribution ceiling to match the mandatory insurance limit of statutory health insurance, which corresponds to a value of nearly 84,000 euros.
According to IGES calculations, for employees with a child and incomes exceeding this new threshold, the maximum additional burden would amount to about 21 euros per month. When factoring in the employer’s share, the total additional cost would be approximately 42 euros monthly, or roughly 500 euros annually. IGES estimates that around six million employees could be affected by these changes.
