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Your guide to contracting in Germany in 2020

Of all of the New Year resolutions you might be tempted to set yourself, our team here at Link Global Management can understand if your principal aim is to become an independent professional in Germany.

After all, this central and western European country is one of the continent’s leading destinations for contractors, as well as the world’s fourth-largest economy by nominal GDP. You can therefore expect plentiful opportunities here – especially in the tech and energy sectors that have been particular points of focus in recent years.

Putting aside the technicalities of contracting here, life in Germany also affords you the chance of a highly rewarding lifestyle, encompassing fine gastronomy across the country’s thriving food and drink scenes, as well as hiking around its no fewer than 16 jaw-dropping national parks.

What are the basic details you need to know when contemplating moving here?

Key to any contracting in Germany guide is an explanation of how you can relocate here in the first place. Those coming to the country from outside the EU, EEA or Switzerland will need to have a work permit linked to their residence status in Germany.

If you choose to live in Germany for longer than three months, you will require a residence permit or ‘Aufenthaltserlaubnis’, of which two types now exist. You can apply for the permit type of relevance to you at your local immigration office, or ‘Ausländerbehörde’.

As for what you will require to qualify for this residence permit, this will differ depending on your status. However, you can at least expect to need to supply a valid passport, proof that you have a place to live, and proof of an ability to support yourself.

The length of your spell in Germany will affect your tax situation

Living in Germany for less than six months, or 183 days, will mean you are only required to pay tax on your income earned in Germany. In the event that you stay for longer than 183 days, however, you will need to pay German income tax on the income you earn worldwide.

However, any double tax treaty between Germany and the country you have come from may affect this, which is why you should familiarize yourself with the details of the situation before you make your move.

Discuss your New Year contracting plans with Link Global Management

While we could go into much more detail with our contracting in Germany guide, it is important to realize that every independent professional’s circumstances are different. You will therefore be able to best establish the right arrangements for you in your new country by first talking to informed experts like ours.

Simply enquire by email or phone to the Link Global Management team today, then, and you can start making the decisive steps towards ensuring your situation is a highly advantageous one when you do finally come to contract in Germany.


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