Starting January 1, 2025, many statutory health insurance providers in Germany will increase their additional contributions, which will also affect retirees.

While the Federal Ministry of Health projected an average increase of 0.8 percentage points, many insurers are expected to exceed this estimate significantly.

The additional contribution is calculated as a percentage of taxable income and is shared between employees and employers, meaning both will experience the cost increases.

This increase was first announced in October 2024 and is now confirmed to be higher than initially expected.

In addition to health insurance contributions, the nursing care insurance contribution will also rise by 0.2% to 3.6% of gross income, as announced by Federal Health Minister Karl Lauterbach.

According to a report by Check24, the increase in additional contributions will range from 0.4 to 1.9 percentage points.

Retirees currently pay a monthly contribution that includes a general rate of 14.6% plus an additional rate set by their health insurance provider.

Retirees will bear the full impact of these increases independently, as they do not share the costs with employers.

However, retirees will not feel the impact of these increased contributions immediately; the changes will take effect starting March 1, 2025.

Importantly, retirees will not receive direct notifications about the contribution increases; instead, they will notice the changes reflected in their bank account statements.

Despite the increases in contributions, retirees will see a pension increase starting July 2025, estimated at 3.6%.

For example, a retiree with a monthly pension of 1,200 euros will see their health insurance contributions rise from 97.75 euros in 2024 to 102.60 euros in 2025.