Yes, taxes may be due when employing a domestic helper in Germany. The exact tax liability depends on various factors, such as the amount of income of the domestic help, the type of employment (mini-job or employment subject to social insurance) and your own tax liability.
If you offer low-paid employment (mini-job) where the monthly income of the domestic help does not exceed 450 euros, you can make use of the flat-rate tax scheme. In this case, you would pay a flat-rate contribution of 2 percent for pension insurance and 13 percent for health, long-term care and unemployment insurance. In this case, the home help would be exempt from paying social security contributions.
If the monthly remuneration of the domestic helper exceeds the mini-job threshold of 450 euros or the employment is subject to social insurance contributions (i.e., the weekly working hours regularly exceed 20 hours), you as the employer must pay the corresponding social insurance contributions (pension insurance, health insurance, long-term care insurance and unemployment insurance). In addition, payroll tax deductions may also be required.
It is important that you as an employer comply with the applicable labor and tax regulations. It is recommended that you consult the relevant authorities or a tax advisor about your individual situation in order to obtain accurate information and clarify possible tax obligations.
