Alone, minimum wage, VAT, child benefit: major changes will begin on January 1, 2021

Starting in 2021 there will be some new rules and taxes. But not all of them are harmful to consumers. All changes for the new year at a glance.

Berlin – At the end of the year some new resolutions come into force. Families and retirees can look forward to the fact that the child benefit is increasing and the basic pension is being introduced. Those who work in the central office are relieved and the minimum wage is increased. But the costs for drivers are increasing: The price of gasoline should be around 7 cents a liter climbing. As of January 1, the VAT will return to 7 and 19 percent. It had been down for half a year due to the corona pandemic.

Home office flat rate: 5 euros per day can be claimed

Those who work from home in the Corona crisis receive a tax credit. Per home office day you can 5 euros claim, but not more than 600 euros per year. The lump sum is part of the advertising costs. Therefore, only those taxpayers who exceed the already applicable advertising rate of 1000 euros benefit from it.

Changes as of January 1 – CO₂-Price: Gasoline is 7 cents more expensive per liter

To make fossil fuels more expensive and promote climate-friendly alternatives, there will be a national CO from 2021₂-Price for transport and heating. Per ton of CO₂, which is produced by burning diesel and gasoline, heating oil and natural gas, vendors such as refineries have to pay 25 euros to start. The price is passed on to customers, according to the federal government, the price per liter of gasoline is increasing 7 cents, for diesel and heating oil at 7.9 cents, natural gas is 0.6 cents more expensive per kilowatt hour. For this purpose, citizens must be relieved elsewhere; for example, the green electricity surcharge, which citizens pay with the price of electricity, is reduced from tax revenue.

CO₂-Housing benefit component: heating costs are taken into account

For low-income people to be affected by CO₂-The prices are not charged, there will be the CO call from January₂Component of Housing benefit. Expected additional costs for heating must be offset by a surcharge. The amount depends on the size of the household and household income.

Solo reduction: disappears for almost everyone

For almost all citizens, the Solidarity surcharge way. The top ten percent should keep paying.

Upskirting ban: two years in prison

Secretly filming or taking photos under the skirt (upskirting) or in the cutout can be punishable by up to two years in prison starting in the New Year. The same applies to the distribution of such recordings.

Value added tax: again 19 and 7 percent

From January the regular will be applied again VAT rate 19 percent on most goods and 7 percent on everyday goods. The federal government had lowered the tax for half a year due to the corona pandemic so that people can continue to spend money and support the economy despite uncertain weather.

Changes from January 1 – Basic security: will be increased

Hartz IV standard rates increase slightly. A single adult will receive 446 euros per month – 14 euros more than before. The rate for young people from 14 to 17 years old increases by 45 euros to 373 euros, and that of children up to five years from 33 to 283 euros. For children between 6 and 13 years old, 309 euros per month is plus one euro.

Basic pension: on average, 75 euros more

Round 1.3 million with a small pension you get a premium. Those who have at least 33 years of pension contributions derived from employment, raising children and caregiving benefit. Your life’s work should be recognized and you won’t have to go to the welfare office. There is an average surcharge of 75 euros. The basic pension will officially start on January 1, but the payment will likely be delayed for several months due to the high administrative burden and will then be made retroactively.

Changes from January 1 – Minimum salary: will increase

The legal minimum wage will rise on January 1 from the current 9.35 euros per hour 9.50 euros.

Allowance and allowance for children: increases by 15 euros

As of January, the state subsidy for the first and second child of 204 increases 219 euros per month, for the third child from 210 to 225 euros and for the fourth child from 235 to 250 euros. The tax-free allowance for child will also be increased by more than 500 euros to 8,388 euros. There is also an increase in the child allowance, an additional benefit to the child allowance for low-income families. The maximum amount of the allowance per child is 185 to 205 euros increased in the month.

Vehicle tax: on average about 15.80 euros more expensive

The vehicle tax increases for new fuel-efficient cars. This should encourage citizens to buy cheaper cars. Cars that have already been registered are not affected. According to one study, it will average about a year 15.80 euros more expensive – But in many cars nothing changes at all.

Disposable plastic ban – Styrofoam is also affected

As of July 3, 2021, it will be an administrative offense across the EU to sell certain items made from single-use plastic, namely cutlery and plates, drinking straws, cotton swabs, balloon holders, stir sticks for coffee too. Styroporbecher and takeout containers.

Income tax: higher basic allowance

For all taxpayers increases Basic tax reliefon which you do not have to pay taxes. In 2021 it will be 9,744 euros instead of the previous 9,408 euros. The limit from which the maximum tax rate of 42 percent is due rises slightly to an annual income of 57,919 euros. Additionally, single parents can deduct higher support payments from taxes.

Changes since January 1 – tax exemptions for people with disabilities:

People with disabilities you can claim higher lump sums on tax returns starting in 2021. With these lump sums, you can save the time and expense of documenting travel expenses individually. Specifically, for a degree of disability of 50, a flat rate of 1,140 euros will be applied in the future, for a degree of 100 it is 2,840 euros.

Electronic medical record: transparency for the doctor

As of January 1, all policyholders must Electronic health records offered for voluntary use. For example, you should be able to save findings, X-rays, and drug plans. With regard to data protection, a somewhat “reduced” version is planned to begin with. Patients can determine what data is included and which doctor can see it. The most accurate access, according to the doctor, only for individual documents will not arrive until 2022.

Intermediation expenses: From January it will be distributed

In the future, anyone who buys a property just has to a maximum of half of the intermediation costs take the control. So far, the buyer has generally fully paid the broker’s commission of up to seven percent of the purchase price. As of December 23, the buyer does not have to transfer their stake until the seller has verified their payment.

Identity card: a new one will cost 37 euros from 2021

For a new identity card, instead of 28.80 euros at the beginning of the year 37.00 euros expire – at least for citizens who are at least 24 years old. You don’t need a new ID card for ten years. Younger applicants whose ID is only valid for six years pay € 22.80.

Changes as of January 1 – Life Insurance: Best Comparable

Consumers can Life insurance better compare in the future. Insurance companies must indicate the so-called effective costs as of January according to uniform criteria. This makes it easier for clients to see how the cost of a contract affects the payment of life insurance.

Assessment ceiling: will be increased

In the West, contributions to the compulsory pension and unemployment insurance are paid up to a monthly income of 7,100 euros (previously 6,900 euros), in East Germany up to 6,700 euros (previously 6,450 euros). the Assessment ceiling for legal long-term care and health insurance to surge nationwide by the beginning of the year 4837.50 euros per month. So far it was 4,687.50 euros.

Meat industry: no more temporary work

Employment contracts for mainly Eastern European workers in slaughterhouses are banned as of January 1. as well Temporary job It should no longer exist in slaughter and cutting.

Ultrasound: off for “baby theater”

Medically not necessary “Baby cinema” or “Baby TV”In other words, ultrasound for unborn babies in the womb will be banned from 2021. Babies must be protected from unnecessary influences. (dpa)