German artists' social security contribution to fall definitively
The German Federal Minister of Labor Andrea Nahles announced a reduction in the artists' social security contribution in June. It has now been published in the Federal Law Gazette. The German Cultural Council is delighted.
According to Olaf Zimmermann, Managing Director of the German Cultural Council, the levy will fall from 5.2 percent to 4.8 percent next year. This will make it clear that better monitoring of companies will lead to significant relief.
A law introduced last year to stabilize the artists' social security contribution rate appears to be working. It aims to ensure that all those who award freelance contracts to artists and publicists comply with the obligation to pay the levy. They are therefore also audited with regard to the artists' social security contribution during the usual social security audits.
The levy is payable in Germany when companies, associations or the public sector pay fees for freelance artistic work. This covers 30 percent of the social security contributions for health, pension and long-term care insurance for freelance artists. The federal government pays 20 percent of the contributions. Artists insured under the artists' social insurance scheme pay 50 percent of the contribution, similar to salaried employees.
