How to register as a freelancer in Germany (2025)
Diana
Updated on:
May 1, 2025
Introduction
Taking the leap into freelancing is exciting, but before you can send your first invoice, you need to register correctly with the German tax authorities. This guide breaks the process into seven clear steps, shows you what counts as a freelancer under German law, and explains ongoing tax obligations using our interactive freelancer tax calculator. Follow along and you'll be legally ready to work, minus the anxiety.
Summary
Complete these seven essentials to register as a freelancer in Germany:
Confirm eligibility – ensure your activity meets the legal definition of freelancing.
Write a concise business description – two or three sentences summarising your services.
Open the application – use either ELSTER (which requires a free certificate) or Norman's free form, which includes tips for every field.
Select your VAT option – Kleinunternehmer exemption or standard VAT scheme.
Estimate first‑year income – this determines your initial tax pre‑payments.
Submit the tax‑registration questionnaire (Fragebogen zur steuerlichen Erfassung).
Receive your tax number (Steuernummer) from the Finanzamt and begin invoicing.
Do you qualify? — What counts as a freelancer in Germany
Legal definition
Under German tax law (Section 18 of the Income Tax Act), a freelancer is an independent professional who delivers primarily intellectual, scientific, artistic, teaching, or healthcare services based on personal expertise. The work must be performed in your own name, on your own responsibility, and without needing a commercial trade licence.
Key consequences:
No trade‑office registration (Gewerbeanmeldung) required.
Exempt from trade tax (Gewerbesteuer).
Simple bookkeeping via the income‑surplus statement (EÜR) instead of full double‑entry accounts.
Catalogue professions (Katalogberufe) & similar roles
German law lists classic catalogue professions—think of them as the government's official "freelance whitelist." They include:
Medical & therapeutic : doctors, dentists, physiotherapists, midwives.
Legal & financial advice : lawyers, notaries, tax advisers, auditors.
Scientific & technical : architects, engineers, surveyors, chemists.
Creative & cultural : writers, journalists, translators, composers, graphic artists.
Courts have gradually extended this list to "similar professions." For example, many IT consultants, software architects, or data science specialists now qualify if their work is demonstrably comparable in complexity and expertise to engineering. Check out the dedicated article on freelance professions for a bigger list.
Freelance vs commercial activities
Even if your core service is freelance, selling physical goods or mass‑produced software can trigger trade status. Two common scenarios:
Separate streams (e.g., an architect who also sells merchandise): keep distinct bookkeeping, bank accounts, and tax numbers.
Mixed, inseparable activity (e.g., a photographer whose revenue is mostly print sales): the tax office will usually treat the entire business as commercial, meaning trade tax applies.
Before filing your registration questionnaire, map out all your revenue sources. If any portion is clearly trade-related, consider forming two separate entities or a single trade entity.
Completing the tax‑registration questionnaire
You can submit the Fragebogen zur steuerlichen Erfassung online in two ways:
ELSTER – the official tax portal (requires a free digital certificate, which is sent by post).
Norman's free guided form – no setup, no jargon. Just answer plain‑English questions and submit directly to the Finanzamt.
Below are the key fields and the tips most new freelancers miss.
Personal & contact details
Tax‑ID vs. new Steuernummer. Use your existing Tax‑ID for identification; the Finanzamt will issue a new Steuernummer for invoices.
Business address. A home address is acceptable; add "c/o" only if you share space.
Business description (Tätigkeitsbeschreibung)
Keep it under 255 characters.
Focus on services, not marketing fluff: "UX design consulting for SaaS start‑ups" is perfect.
If your work is borderline trade, emphasise the intellectual service element.
Expected revenue & profit (Umsatz / Gewinn‑Prognose)
Be realistic; round to the nearest €500.
VAT choice (Umsatzsteuer‑Option)
Tick 'Kleinunternehmer' if you expect to earn less than €25,000 in your first year and want to charge clients 19% less (no VAT).
Choose Regelbesteuerung if you plan high expenses and want to reclaim input VAT.
Accounting method
Most freelancers pick Einnahmenüberschussrechnung (EÜR)—just confirm the box.
Ignore "Bilanzierung" unless a tax adviser has told you otherwise.
Bank details for automated tax payments
Enter your IBAN now so the Finanzamt can automatically deduct or reimburse your taxes.
This option helps avoid late payment fees but gives more power to the Finanzamt.
Submitting the form
Review the details carefully.
There is no option to correct or cancel the form after submitting it.
🗓 After submission, your Finanzamt will usually issue your Steuernummer within 4 to 8 weeks.
Free eBook: Mastering your first year of freelance in Germany
Set yourself up for success beyond registration. Download our free eBook packed with checklists, real‑world examples, and answers to every tax question you'll face in year one.
Taxes & ongoing obligations
Once your registration is complete, you'll move into a rhythm of regular filings and payments. Keep these three pillars on your radar:
Income‑tax advance payments (Einkommensteuer‑Vorauszahlungen)
How they're calculated : The Finanzamt multiplies your projected annual profit by the progressive income‑tax scale, subtracts the basic allowance (€12,084 in 2025), and divides the result into quarterly instalments.
Due dates : 10 March, 10 June, 10 September, 10 December. Set calendar reminders or a direct‑debit mandate to avoid late‑payment interest (0.5 % per month).
Can I adjust them? Yes. If profits swing up or down, send a short letter (or ELSTER message) with new estimates—payments will be recalculated.
VAT filings (Umsatzsteuer‑Voranmeldung)
Monthly vs. quarterly: In your first two years, you file quarterly; afterwards, your previous‑year VAT liability decides:
• > €9.000 → monthly
• €2.001–9.000 → quarterly
• ≤ €2,000 → exemption on request.Submission deadline: 10th day after each period (e.g., 10 April for Q1 or March). Apply once for a "Dauerfristverlängerung" to get a one-month grace period.
Kleinunternehmer option: If your turnover stayed below €25,000 last year and will not exceed €100,000 this year, you can skip VAT entirely—but you can't reclaim input tax.
Forecast your tax bill with our calculator
Unsure how much to set aside? Test different revenue scenarios in seconds with the Freelancer Tax Calculator.
After registration: Next practical steps
You've submitted the questionnaire and have your Steuernummer—great! Now handle three practical tasks to keep operations smooth and compliant.
Open a business bank account
Why it matters: Mixing personal and business funds makes bookkeeping complicated and can raise red flags during a tax audit. Trust me, you wouldn't be able to distinguish between a Tinder date and a client dinner a year after the event.
What to look for: Low fees, instant SEPA transfers, multi‑user access, and exportable statements (CSV/DATEV). Digital‑first banks often approve freelancers within 24 hours.
🏦 We partnered with Qonto to offer you seamless integration with Norman and the most powerful bank account.
Arrange key insurance
Insurance | Is It Mandatory? | Why You Need It | Approx. Monthly Cost* |
|---|---|---|---|
Health & long‑term care | Yes (public or private) | Covers medical bills and sick pay | €250–€800 |
Pension (statutory or professional fund) | Depends on profession | Secures retirement income | €200–€600 |
Public liability (Betriebshaftpflicht) | No | Pays for property or bodily damage caused during work | €8–€25 |
Professional indemnity (Berufshaftpflicht) | Mandatory for legal, tax, and medical fields | Covers pure financial loss from professional errors | €15–€80 |
Income‑protection / disability | No | Replaces income if illness stops you from working | €30–€100 |
*Typical ranges for new freelancers in 2025; your quote will vary by age and coverage.
Invoice like a pro
Mandatory elements: Name, address, Steuernummer, invoice date, consecutive invoice number, net amount, VAT rate/amount or VAT‑exemption note (§19 UStG), payment due date, bank IBAN.
Payment terms: The standard is 30 days, but many freelancers set a 10-business-day term to encourage prompt payment.
Kleinunternehmer wording: Add: "Invoice issued according to § 19 UStG; VAT not shown."
💡 Norman's provides free invoicing without limits, auto‑inserts all legal text, and syncs payments with your bank feed.
With banking, insurance, and invoicing sorted, your freelance business infrastructure is ready for sustainable growth.
Common mistakes to avoid
Even seasoned professionals stumble during their first year of freelancing. Steer clear of these three pitfalls to keep the Finanzamt—and your cash‑flow—happy.
Mixing freelance and trade income
Why it matters: Selling physical goods or mass software alongside freelance consulting can trigger Gewerbesteuer and extra bookkeeping.
Smart fix:
Separate activities in advance: two price lists, two invoice sequences, two bank sub‑accounts.
Use distinct wording on invoices ("Consulting fee" vs "Merchandise sale").
File a short memo with your first tax return explaining how you separate earnings.
Missing the four‑week reporting deadline
The rule: You must submit the tax‑registration questionnaire within four weeks of starting paid work.
Consequences: Late submission can incur a fine of €500–€1,000 and interest on backdated tax.
Smart fix:
Start the form the same week you sign your first client.
If you realise you're late, call the Finanzamt proactively and file immediately—penalties are often waived for first‑timers who act quickly.
Misestimating income in the questionnaire
Common error: Over‑optimism leads to large advance‑tax bills; over‑caution results in big year‑end back‑payments.
Smart fix:
Base your estimate on a realistic client pipeline, not a dream scenario.
Recalculate quarterly and request an adjustment if revenue is ±20 % off your estimate.
Use Norman's built‑in calculator before submitting figures; it shows the advance payments tied to each revenue level.
FAQ
How long does it take to get a tax number after submitting the questionnaire?
Most Finanzämter issue your Steuernummer within 5 to 10 working days. If you hear nothing after two weeks, call the clerk listed in your confirmation e‑mail; sometimes they need an extra document or proof of address.
Can I register as a freelancer while still employed full‑time?
Yes. Inform your employer if your contract requires it, and keep your freelance hours below 18–20 per week to avoid social‑security complications.
Do I need a business plan to register?
The Finanzamt does not require a business plan—only a realistic estimate of your first-year profit. However, drafting one helps you justify income projections and is essential if you later seek bank finance or government grants.
What happens if I add a commercial (trade) activity later?
Notify your Finanzamt in writing and open a separate trade with the Gewerbeamt. Maintain distinct books for freelance vs. trade income; otherwise, the entire operation may become subject to trade tax.
Can I switch from Kleinunternehmer to regular VAT—or vice versa?
Switching to regular VAT: Send a short ELSTER message before the start of a new calendar year; the choice binds you for five years.
Switching to Kleinunternehmer: Allowed if your turnover stayed below €25,000 in the previous year—apply by 31 December to take effect 1 January.
How do I estimate quarterly tax set‑asides easily?
Use our integrated Freelancer Tax Calculator. Enter projected revenue, deductible costs, and VAT choice; it outputs the exact amounts to reserve each month.
How do I deregister if I stop freelancing?
Submit a simple letter or ELSTER form "Abmeldung einer freiberuflichen Tätigkeit" to your Finanzamt, file final tax returns, and store records for 8 years.
Conclusion
Congratulations—you now have a clear roadmap to become a fully registered freelancer in Germany. By:
Confirming your eligibility,
Completing the tax‑registration questionnaire accurately, and
Staying on top of quarterly tax and VAT obligations,
you'll avoid costly penalties and free up time for what matters most—serving clients and growing your business.
Need help crunching the numbers? Try our Freelancer Tax Calculator. You'll see how much to set aside for income tax, VAT, and the solidarity surcharge—so you can price projects confidently and sleep well at night.