Changes for Midijob employees. Work in Germany. Starting in 2025, the minimum wage will increase. This is great news not just for those earning the minimum wage, but also for people in the Midijob system, as income limits will be adjusted. This change will have a major impact on the financial situation of millions of employees. What exactly is changing and how will it affect workers? We explain all the details in this article.
Good news for Workers in Germany
Starting in January 2025, the minimum wage in Germany will rise to €12.82 per hour. For workers in mini-jobs, this means the maximum monthly income will increase to €556, which is an additional €18 compared to the previous limit. As for midi-jobs, the income limit will begin at €556.01 (just above the new mini-job limit) and continue up to €2,000 per month. These changes reflect adjustments to the income levels in both mini- and midi-job systems, improving the financial situation for many employees in Germany.
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The midijob reform, which took effect in early 2023, already included adjustments to the income limit for midi-job workers. Initially raised in October 2022 from €1,300 to €1,600, the income threshold was further increased to €2,000. These changes are designed to support lower-income workers by providing more flexibility in their earnings without being burdened by high social security contributions. The adjustments aim to ensure that individuals in these income brackets have a better chance to increase their earnings while still enjoying benefits like reduced contributions to social security.
Benefits for employees working on Minijob
People employed in midijobs benefit from lower social security contributions compared to mini-job workers but still enjoy full benefits such as health, pension, and care insurance. This ensures they maintain full pension rights, even though their contributions are lower. These arrangements are designed to help lower-earning workers retain access to key social services while reducing their financial burden. This approach offers a balance between providing social security benefits and allowing workers to take home more of their earnings.
According to the Federal Employment Agency, there were approximately three million people employed in midijobs in 2023, nearly double the number from 2022. This increase highlights the success of recent reforms aimed at supporting workers in lower-paying jobs. By offering lower social security contributions while still providing full benefits like health and pension insurance, these changes have helped more individuals find financial stability. The growing popularity of midijobs reflects the positive impact of these adjustments, giving workers access to benefits without the high costs typically associated with higher income brackets.