💼 Germany Expat Essentials: Social Security, Tax ID & Health Insurance Explained

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Moving to Germany comes with some important bureaucracy, but understanding these basics will make your life much easier. Whether you’re planning to work, live long-term, or raise a family, these are the three keys you need:

  1. Social Security Number (Sozialversicherungsnummer)

  2. Tax ID (Steuer-ID)

  3. Health Insurance (Krankenversicherung)


1️⃣ Social Security Number

The Social Security Number is a unique 12-digit identifier issued by the German Pension Office (DRV).

Why it matters

  • Employers need it to register you in the social security system.
  • Covers contributions to health insurance, pension, nursing care, accident, and unemployment insurance.

How to get it

  • Public health insurance: Usually automatic after registering your address (Anmeldung) and joining a public insurer. The DRV mails your number.

  • Private health insurance: You must request it directly from the DRV with your passport and proof of registration.

Where to find it later

  • Payslips (Gehaltsabrechnung)

  • Annual contribution statements from your employer

  • Yearly pension summary from DRV

2️⃣ Tax ID

The Tax ID is an 11-digit number issued by the Federal Central Tax Office.

  • Used for all tax matters, including income tax and reporting earnings.

  • Valid for life, even if you move within Germany.

  • Essential for payroll, banking, and official documents.

Pro tip: Keep both your Social Security Number and Tax ID handy—they’re the backbone of your working life in Germany.

                       🎥 Podcast: Social Security Number & Tax ID

🎧 Listen to our podcast for an in-depth discussion on Social Security and Tax ID in Germany.

3️⃣ Health Insurance in Germany

Everyone living in Germany must have health insurance, either public (GKV) or private (PKV).

Private Insurance: Attractive but risky

  • Often cheaper for young, healthy individuals.

  • Extra perks like faster appointments or private hospitals.

  • Downside: Costs rise significantly with age, and coverage may have limits for surgeries or severe illnesses.

Public Insurance: The safer long-term choice

  • Contribution rate: ~14.6% of gross income + small additional charge (~1.3%), split 50/50 with employer.

  • Family coverage: Non-working spouses and children are included at no extra cost.

  • Predictable costs regardless of age, income, or family size.

📌 Example: A father working with a non-working spouse and 4 children pays the same ~7.3% of income (employer pays the other 7.3%), and the whole family is fully covered, including treatments and some medications.

Public vs Private Health Insurance – Quick Comparison

1. Monthly Cost

  • Public (GKV): Income-based (~15–16%), split 50/50 with employer

  • Private (PKV): Based on age and health; can increase significantly with age

2. Family Coverage

  • Public (GKV): Non-working spouse and children are included at no extra cost

  • Private (PKV): Each family member pays separately

3. Costs with Age

  • Public (GKV): Stable, predictable

  • Private (PKV): Usually increases significantly as you get older

4. Coverage

  • Public (GKV): Comprehensive, standardized care for everyone

  • Private (PKV): Extra benefits possible, but with limits and co-payments

5. Best For

  • Public (GKV): Long-term residents & families

  • Private (PKV): Young singles, high earners, short-term stays

✅ Conclusion: For long-term living in Germany, public health insurance is usually the best choice, offering reliable coverage, predictable costs, and peace of mind for your family.

🔊 For better understanding, watch our video bellow:



🔊 For better understanding, watch our video bellow: Health Insurance in Germany


Location: Deutschland

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