Top 5 Tax Changes 2026 for the Self-Employed in Germany
A higher basic allowance, a rising soli threshold, a new minimum wage and the e-invoice: here is what changes in 2026 for the self-employed in Germany – with all the concrete numbers.
- Category
- Taxes
- Updated
- Author
- Diana
2026 brings several tax reliefs for the self-employed and freelancers in Germany – plus a few new obligations. The basic allowance rises, the solidarity surcharge threshold climbs, and the tax brackets are adjusted against bracket creep. The bottom line: many keep more net income.
At the same time, the statutory minimum wage and the minijob limit go up – relevant for anyone employing helpers or minijobbers. And in the B2B world, the e-invoice finally becomes the standard you need to prepare for.
We have summarised the five most important tax changes 2026 for the self-employed – with all the concrete figures, so you know exactly what changes for your business.
Key facts at a glance
- Basic allowance 2026: rises to €12,348 (single) or €24,696 (married) – income tax only applies above this.
- Soli threshold: climbs to €20,350 of assessed income tax (single). For almost all self-employed people, the soli remains a non-issue.
- Top tax rate (42%): only applies from €69,879 of taxable income – the brackets shift against bracket creep.
- Minimum wage: rises on 1 January 2026 to €13.90 gross per hour, the minijob limit to €603 per month.
- E-invoice: the B2B duty to receive has applied to everyone since 2025. The duty to send arrives in stages from 2027.
2026 tax changes at a glance
| Figure | 2025 | 2026 |
|---|---|---|
| Basic allowance (single) | €12,096 | €12,348 |
| Basic allowance (married) | €24,192 | €24,696 |
| Soli threshold (single) | €19,950 | €20,350 |
| Top tax rate from | €68,481 | €69,879 |
| Minimum wage / hour | €12.82 | €13.90 |
| Minijob limit / month | €556 | €603 |
| Child allowance (per child) | €9,600 | €9,756 |
| Child benefit / month | €255 | €259 |
1. Basic allowance rises to €12,348
The basic tax-free allowance (Grundfreibetrag) – the share of your income that stays entirely tax-free – rises in 2026 by €252 to €12,348 (2025: €12,096). For jointly assessed married couples and registered partners, the amount doubles to €24,696.
In practice this means: income tax only kicks in once your taxable profit exceeds €12,348. For founders, part-time self-employed and solo entrepreneurs with thin margins, that is a noticeable relief – and one more reason to track your business expenses carefully to keep taxable profit low. How exactly the allowance works is explained in the guide on the basic tax-free allowance.
2. Solidarity surcharge threshold climbs to €20,350
Since 2021, only a minority of higher earners still pay the solidarity surcharge (Soli). The threshold below which no soli is due rises again in 2026: to €20,350 of assessed income tax for single filers (2025: €19,950) and €40,700 for jointly assessed couples.
That means the soli only applies once your assessed income tax exceeds this limit – and even then it is phased in gently via the so-called mitigation zone. For the vast majority of the self-employed, the soli remains a non-issue.
3. Tax brackets shift – less bracket creep
So that profit increases are not immediately eaten up by a higher tax rate, the legislator shifts the bracket thresholds upward in 2026. The top rate of 42% now only applies from a taxable income of €69,879 (2025: €68,481).
This adjustment against bracket creep (kalte Progression) ensures that a purely inflation-driven increase in your fees does not push up your average tax burden. It is especially relevant for the self-employed with profits between €30,000 and €80,000. If your profits rise, it also pays to review your estimated tax payments, so the adjustment does not turn into an unpleasant back payment.
4. Minimum wage €13.90 and minijob limit €603
If you employ helpers or minijobbers, you have to recalculate in 2026: the statutory minimum wage rises on 1 January 2026 to €13.90 gross per hour (2025: €12.82). A further step to €14.60 follows in 2027.
Because the minijob limit is tied to the minimum wage, it rises in 2026 to €603 per month (2025: €556). A minijobber can therefore work around 43.4 hours per month without breaching the limit. Plan your hours and payroll accordingly.
5. E-invoice: receiving is mandatory, sending is coming
Since 1 January 2025, every business in the B2B sector must be able to receive and process e-invoices – including you as a self-employed person or freelancer. A plain PDF invoice does not count as an e-invoice; the law means structured formats such as XRechnung or ZUGFeRD.
For sending, a transition period applies: until the end of 2026, everyone may still send paper or PDF invoices. From 2027, sending becomes mandatory for businesses with more than €800,000 in prior-year turnover, and from 2028 for everyone else. Small businesses under § 19 UStG (Kleinunternehmer) are permanently exempt from sending – but they too must be able to receive.
What exactly counts is explained in the guide on the e-invoice obligation; how to process incoming invoices correctly is covered in the article on receiving e-invoices. With Norman's e-invoicing you create and receive compliant invoices without extra software.
Further 2026 changes at a glance
Beyond the five big topics, 2026 also changes several lump-sum allowances and rates that mean real money for the self-employed depending on your situation:
| Change | 2026 | Relevance for the self-employed |
|---|---|---|
| Commuter allowance | €0.38/km from the 1st km | Trips between home and place of business as a business expense |
| Trainer allowance | €3,300 (from €3,000) | Tax-free side income from teaching or training work |
| Volunteer allowance | €960 (from €840) | Tax-free expense reimbursement for volunteering |
| VAT on catering | 7% on food (from 19%) | Relevant for self-employed caterers and restaurateurs |
| Child benefit | €259/month per child | Higher payout for self-employed parents |
The commuter allowance applies from 2026 uniformly at €0.38 per kilometre from the very first kilometre – previously the higher rate only applied from the 21st kilometre. Anyone regularly commuting to clients or between home and office deducts these trips as a business expense.
What you should do now
The reliefs come automatically via the tax tariff – you do not need to act on those. But you should react to:
- Set up e-invoicing, so you can receive structured invoices right away.
- Adjust payroll if you employ minijobbers (€13.90 / €603).
- Check prepayments: with rising profits it pays to review your estimated tax payments to avoid back payments.
- Keep an eye on deadlines – all 2026 dates are in the tax calendar.
If you are still under the small-business scheme: the turnover limits of €25,000 (prior year) and €100,000 (current year) continue unchanged in 2026. Details in the guide on the Kleinunternehmer VAT exemption.
The starter book for your self-employment
Free e-book: registration, accounting, your first invoice, and taxes, plus a tax calendar, deductions cheat sheet, and invoice template.
Frequently asked questions about the 2026 tax changes
What changes for the self-employed in 2026?
The key points: a higher basic allowance (€12,348), a higher soli threshold (€20,350), tax brackets shifted against bracket creep, a minimum wage of €13.90 with a minijob limit of €603, and the further rollout of the e-invoice obligation. On top of that, there are smaller adjustments to the commuter, trainer and volunteer allowances.
How high is the basic allowance in 2026?
The basic allowance is €12,348 for single filers and €24,696 for jointly assessed couples in 2026. Income tax only applies once your taxable profit exceeds this amount.
When does the €13.90 minimum wage apply?
The new statutory minimum wage of €13.90 gross per hour applies from 1 January 2026. On 1 January 2027 it rises to €14.60.
Do the self-employed have to issue e-invoices in 2026?
Not yet on a mandatory basis. All B2B businesses have had to be able to receive e-invoices since 2025. For sending, a transition period applies until the end of 2026; from 2027 it becomes mandatory for turnover above €800,000, and from 2028 for everyone else. Kleinunternehmer are permanently exempt from sending.
How high is the minijob limit in 2026?
Because the minijob limit is tied to the minimum wage, it rises in 2026 to €603 per month (2025: €556). That equals roughly 43.4 working hours per month at the minimum wage.
Do I have to pay the soli as a self-employed person in 2026?
Only if your assessed income tax exceeds the threshold of €20,350 (single) or €40,700 (married). For most self-employed people, the solidarity surcharge therefore remains irrelevant.
Conclusion
On balance, 2026 is a good tax year for the self-employed in Germany: a higher basic allowance, more headroom on the soli, and a tariff that cushions inflation. The biggest to-do remains the e-invoice – get set up and there is no stress. Norman helps you handle bookkeeping, e-invoicing and taxes automatically in one place, so you fully capture the 2026 reliefs.
Capture the 2026 tax changes automatically
Norman calculates with the new 2026 thresholds, shows your estimated tax burden in real time and creates compliant e-invoices – bookkeeping, e-invoicing and taxes in one place.