Special expenses (Sonderausgaben)

Sonderausgaben (special expenses) are certain private expenses that you can deduct from your taxes in Germany (§10 ff. EStG) – in addition to income-related expenses.

The most important special expenses:

1. Provision expenses (the largest item):

• Retirement provision: contributions to pension insurance, Rürup pension (deductible up to €27,566/year)
• Health/long-term care insurance: basic contributions deductible without limit
• Others: liability, occupational disability, accident insurance (maximum: €1,900 employees / €2,800 self-employed)

2. Church tax: fully deductible

3. Donations: up to 20% of total income

4. Childcare: 2/3 of the costs, max. €4,000 per child (daycare, childminder, babysitter)

5. School fees: 30% of private school costs, max. €5,000

Lump sum: the automatic special expenses lump sum is a ridiculous €36/year (singles). The amounts you can actually deduct are almost always much higher.