On January 1, 2027, the income thresholds in health insurance rise more than they have for years. The background is the Statutory Health Insurance Contribution Rate Stabilization Act, with which the federal government wants to stabilize the financing of statutory health insurance in the long term.
For employees, the new thresholds have several effects at once:
- Contributions to statutory health insurance rise for high earners.
- The maximum employer contribution to private health insurance increases.
- For some employees, the switch to private health insurance becomes harder for the time being.
In this article, we show which values will apply and what effects follow from them.
The new values at a glance
| Figure | 2026 | 2027* | Effect |
|---|---|---|---|
| Jahresarbeitsentgeltgrenze JAEG · JahresarbeitsentgeltgrenzeThe annual income threshold in Germany. Employees who earn more than this per year may leave statutory health insurance and switch to private health insurance.More about JAEG → (JAEG) | €77,400 | €84,150 | Higher income required to switch to private health insurance as an employee. |
| Beitragsbemessungsgrenze BBG · BeitragsbemessungsgrenzeThe contribution ceiling of statutory health and long-term care insurance. Income above this amount is not used to calculate contributions.More about BBG → (BBG) | €69,750 | €76,500 | Contributions to statutory health insurance are calculated on a larger share of income. |
| Max. employer contribution, health insurance | €508.59 | approx. €557.81 | Higher contribution for employees with private health insurance. |
| Max. employer contribution, long-term care insurance | €104.63 | approx. €114.75 | The contribution to long-term care insurance also rises. |
| Max. employer contribution, total | €613.22 | approx. €672.56 | Around €59 more employer contribution per month possible. |
*JAEG and BBG according to the cabinet decision of October 7, 2026. The Bundesrat still has to approve. The employer contribution values are calculated with the officially set average Zusatzbeitrag for 2026 of 2.9 percent and the long-term care contribution rate of 3.6 percent. For 2027, the Federal Ministry of Health also set the average Zusatzbeitrag ZusatzbeitragThe additional contribution each statutory health insurance fund charges on top of the general rate. Its level differs from fund to fund.More about Zusatzbeitrag → at 2.9 percent on October 30, 2026.
Why are the income thresholds rising?
Every year, the social insurance thresholds are adjusted to general wage growth. For 2027, however, a special statutory rule is added.
With the Statutory Health Insurance Contribution Rate Stabilization Act, the Beitragsbemessungsgrenze is raised by an additional €300 per month. This is meant to increase the income of statutory health insurance and stabilize the financing of the system in the long term.
Since the Jahresarbeitsentgeltgrenze is based on the Beitragsbemessungsgrenze , it also rises much more sharply than in previous years.
What does this mean for employees?
Higher contributions to the statutory health insurance fund
Because of the higher Beitragsbemessungsgrenze , a larger part of income becomes subject to contributions. Employees above the previous Beitragsbemessungsgrenze will therefore pay higher health and long-term care insurance contributions.
The exact additional burden depends on the Zusatzbeitrag of the statutory health insurance fund and on the contribution rate for long-term care insurance.
Switching to private health insurance becomes harder
According to the cabinet decision of October 7, 2026, the Jahresarbeitsentgeltgrenze rises to €84,150. This means employees will need a higher regular annual gross income to leave compulsory insurance in statutory health insurance and take out private cover.
An example from practice: an employee earns €82,000 gross per year. In 2026, a switch to private health insurance is generally possible, because the threshold is €77,400. If the JAEG rises to €84,150 in 2027 as decided, the same employee initially remains compulsorily insured in statutory health insurance.
You can check in a few minutes whether your income is enough for the switch with our JAEG calculator.
Higher employer contribution to private health insurance
With the higher Beitragsbemessungsgrenze , the maximum employer contribution for employees with private health insurance rises at the same time. The employer generally pays half of the actual private premium, but at most up to the statutory maximum contribution. For health and long-term care insurance together, around €59 more per month will probably be possible in 2027.
Conclusion and outlook
The planned adjustments to the income thresholds are among the largest changes of recent years. While high earners will pay higher contributions to statutory health insurance, the income threshold for a switch to private health insurance moves clearly upward at the same time.
Employees who are already privately insured, on the other hand, will probably benefit from a higher employer contribution.
The federal cabinet adopted the social insurance figures on October 7, 2026, and the approval of the Bundesrat is still pending. The values are based on wage growth and the special increase of €300 a month. What the decision means in detail is set out in our news item of October 7. This special increase has a lasting effect, because future adjustments build on the raised level. If your income falls below the new Jahresarbeitsentgeltgrenze in 2027, you generally become compulsorily insured in statutory health insurance again. For employees who are already privately insured on December 31, 2026, a separate threshold of €80,550 applies. There are exceptions and options, however, such as an exemption from compulsory insurance.
If you are planning to switch to private health insurance or want to know what effect the new thresholds have on your own situation, check the social insurance figures and reassess your personal situation. We have summarized the requirements that apply in detail.
