Salaries in Germany

Many people are moving to Germany because the working conditions and salary are often much better than in their home country. See how much money you can expect to earn and get some insights from a German.

YouTube comments:

“After working in Germany for several years in different cities and PhD in STEM, I can tell you that salaries are not that high as people imagine. After considering expensive rents and high tax, your disposable income isn’t much. The benefits come from social benefits, usually nice working hours, paid holidays, healthcare, great cheap alcohol and peaceful country. If you seek making a lot of money, Germany isn’t your country. In Europe you probably have look north for higher salaries and Switzerland, in Asia, some highly developed countries like Singapore. If you have a high level of education and work for a good company in the USA and even sometimes in Latin America, are better places to make great money. But hey money isn’t everything, you need to evaluate pros- and cons.”

“While average income in Germany was relatively high in 2019 with ~€3500 as mentioned in the video, the median was much lower with just €2500 (gross income). That means that 50% of the German population earn less than €2500 (~€1700 after taxes and insurances). It’s also worth mentioning that you’re considered upper class with a net income of around €5500 gross income, but you have to pay the property tax with just a monthly income of around €4500 gross income. If you plan to buy real estate in Germany: Forget it.”

“I work in a big car company in Germany as Engineer… and I can tell you the salaries are not high compared to the very high rent (or apartment prices), taxes and high prices of Energy and Benzin in Germany. I really wonder how people here are able to live who get lower salaries. And at some point you have to save to buy a house or an apartment (with something like half a million Euro) because after geting retired, your income gets 60% lower and then you will not even afford the rent of your apartment. I saw retired people who had to move to smaller worse apartments or ask for social housing or shelters. I think life here is not as rosy as people in the third world think. What is worse is: I think the government and politicians in Germany do not care much about this problem, or act as if there is no poor people in Germany at all. Politicians in Germany are rather busy with saving the Earth, recycling and cutting CO2 as their main mission… helping the poor or the middle class in Germany comes as second priority.”

“From the US here and about to start my first job out of college in Germany. I’m going there for the quality of life, I don’t care that I can make more here — if I die tomorrow the extra savings means nothing, but a strong welfare/healthcare system, fewer stupid people, better infrastructure, lower crime rates, better work culture, decent politicians, beautiful nature and architecture, etc. will have made me enjoy my life every day. I want that peace of mind and I can’t get that here. Everything is fundamentally messed up here and nothing will change in a meaningful way anytime soon.”

How much does an Engineer make in Germany?

The estimated total pay for a Engineer is €67,886 per year in the Germany area, with an average salary of €62,886 per year. These numbers represent the median, which is the midpoint of the ranges from our proprietary Total Pay Estimate model and based on salaries collected from our users.

The estimated additional pay is €5,000 per year. Additional pay could include cash bonus, commission, tips, and profit sharing. The “Most Likely Range” represents values that exist within the 25th and 75th percentile of all pay data available for this role.

Salary is important but differently than you think

It is said that a salary increase should have little effect on motivation at work. Appreciation and more responsibility are the key. But that’s not entirely true – because salary does play a role in employee satisfaction.

Money alone does not bring happiness – this is the result of countless job studies that have examined how the level of salary affects the motivation of employees. Sometimes experts are looking for the ideal salary that makes people happy. Time examines how salary increases affect employee engagement. The answers that these studies give to the salary questions are similar: salary increases only have a minimal effect that quickly fizzles out over time. If you want to motivate employees or keep them in the company, you should use other means as a boss.

All of this may be true, but it is not the whole truth. “Money does not necessarily generate motivation, but if the payment is not right, demotivation can arise,” says psychology professor Maika Rawolle from the University of Media, Communication and Economics in Berlin to the “Süddeutsche Zeitung”. The unclear expression of “incorrect salary” is very correct, because there are some salary constellations that reduce motivation. Everyone agrees: It’s about injustice, that is, about a comparison.

Germany: The discreet lives of the super rich

The rich in Germany been never been as well-off as they are today and assets have never been so unevenly distributed. But who are they? How do they live? And what do they think of their country?

A journey into the discreet world of the super-rich. One percent of Germans own over a quarter of the country’s assets, whilst half of the country’s citizens have no assets at all. But while the German media report on the growing poverty in the country on a daily basis, little is known about the super-rich. They keep a very low profile and can walk the streets unrecognized.

Don’t overpay your employees!

What drives employees? There are many answers to the question: Responsibility is one thing, appreciation is another. And money? Not so important. More salary can even be dangerous.

According to the motivational pope Sprenger, money can trigger a flash in the pan motivation. “The half-life is usually no more than 48 hours,” says the management consultant. Happiness researcher Ruckriegel is a little more optimistic: “Once the basic needs are met, it takes about two to three months for the employee’s expectations to adjust and for them to be just as satisfied as they were before the salary increase.”

In the long term, however, there is a risk of dramatic consequences from excessive financial generosity. According to Sprenger, it increases the stimulus and expectation level and can thus trigger a real addiction to rewards. Ruckriegel also warns: “You always have to push more, but at some point the end of the road will be reached.” And the higher the starting salary level, the lower the impact on productivity and the higher the greed. Because then the main thing is to earn as much as possible more than the others.

Eleven golden rules for making a career

Success at work does not fall from the sky. However, those looking for advancement must internalize a few principles in order to be able to take their professional destiny into their own hands. Here are the most important tips from motivational trainers, career coaches and HR professionals.

Germans would rather travel than pursue a career

LinkedIn study examines what success means to employees. Happiness and health are more important than career advancement.

Contrary to the classic definition that success is synonymous with an influential position in a company and a lot of money, professional success plays a rather subordinate role for German employees. This was the result of a representative study commissioned by LinkedIn, which examined how Germans define success for themselves today.

According to this, success has an individual meaning for 66 percent of those surveyed. Just under a quarter of those surveyed see professional milestones as a success. Financial aspects such as a salary increase (16 percent) or a six-figure salary (12 percent) are rated even less important. Being happy (72 percent) or healthy (71 percent) is seen as the greatest achievement. For most people, the job serves as a way to have more freedom later. 17 percent would like to retire by 2027 and be able to actively shape it.

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