Passengers wait to board a domestic flight at Berlin Brandenburg Airport. Air travel from Germany may become slightly cheaper as the federal government reduces air passenger tax rates to strengthen the country's competitiveness as an aviation hub/Photo: AfricanCourierMedia

What Changes in Germany from July 2026?

July 2026 ushers in a wide-ranging package of legal and policy changes that will affect millions of people across Germany. The reforms span key areas of everyday life, including social welfare, pensions, taxation, healthcare, consumer rights, transport and travel. While some measures will boost personal incomes or make public services easier to access, others introduce stricter rules and new responsibilities. Here’s an overview of the most significant changes and what they mean for residents of the country:

Pensioners receive another substantial increase

Germany’s approximately 21.5 million pensioners will receive a 4.24% pension increase from 1 July. It is the fourth time in five years that pensions have risen by more than 4%, reflecting the country’s strong wage growth. The increase is particularly welcome as many retirees continue to face higher living costs due to inflation in recent years.

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Better pay for elderly care workers

Minimum wages in Germany’s elderly care sector also increase from July.

  • Care assistants: €16.52 per hour
  • Qualified care assistants: €17.80 per hour
  • Professional nurses: €21.03 per hour

Another wage increase is already planned for next year.

The measure is particularly relevant for Germany’s migrant workforce. Thousands of healthcare professionals from Africa and other regions of the world are employed in the care sector, which continues to experience severe staff shortages due to Germany’s ageing population.

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New opportunities for Minijob workers

Many minijobbers opted out of compulsory pension contributions to keep more of their pay. From 1 July, they have a one-time opportunity to reverse that decision, paying a small employee contribution — currently 3.6 percent, alongside the employer’s 15 percent — in exchange for building up state pension entitlements and having the employment period count in full towards their qualifying years. This matters for the many people working part-time, including students, parents and retirees.

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Filing tax returns becomes easier

For millions of taxpayers, dealing with Germany’s tax system is becoming less complicated.

A new feature in the MeinELSTER+ smartphone app allows eligible users, including single employees without children, pensioners and retirees, to submit a pre-filled tax return with a single click. The tax office automatically prepares the return using information already on file, although users can still make changes before submitting it.

The simplified service is expected to benefit around 11.5 million people.

Meanwhile, anyone obliged to submit a tax return for 2025 must do so by 31 July 2026, unless they use a tax adviser, in which case the deadline extends to 30 April 2027.

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Bürgergeld becomes Grundsicherung

One of the most politically significant changes is the replacement of Bürgergeld with a new welfare system called Grundsicherung (Basic Income Support).

Although benefit amounts remain unchanged, the new rules are considerably stricter. Asset protection during the initial period of receiving benefits has been abolished, meaning applicants may have to use more of their own savings before qualifying. Authorities will also seek to place employable recipients into work more quickly, while those who repeatedly refuse reasonable employment offers may face tougher sanctions, including the suspension of benefits.

The reform reflects the federal government’s emphasis on encouraging labour market participation while reducing long-term dependence on social assistance.

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Pharmacies expand healthcare services

Another innovation in the new month is the introduction of assisted telemedicine in pharmacies.

Patients will increasingly be able to consult doctors remotely while receiving assistance from trained pharmacy staff. The service is expected to be particularly valuable in rural areas where access to medical doctors is often limited.

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New right to repair household products

Germany is implementing the EU’s new Right to Repair rules.

Manufacturers of products such as washing machines, refrigerators and smartphones will be required to offer repairs at reasonable prices for a defined period during a product’s normal lifespan instead of encouraging replacement.

The reform aims to reduce electronic waste, save consumers money and support the EU’s broader sustainability objectives.

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Flying may become slightly cheaper

Air travellers departing from Germany could see modest savings from 1 July as the federal government reduces the air passenger taxation to the levels that applied before 1 May 2024. The measure is intended to strengthen Germany’s competitiveness as an aviation hub after airlines complained that high taxes and airport charges had made flights from German airports more expensive than those from neighbouring countries.

The tax reduction varies according to flight distance. For short-haul flights (up to 2,500 km), the tax falls from €15.53 to €13.03 per passenger — a saving of €2.50. For medium-haul flights (2,500 to 6,000 km), it drops from €39.34 to €33.01, while long-haul flights (over 6,000 km), including most destinations in sub-Saharan Africa, North America and Asia, see the biggest reduction, from €70.83 to €59.43, a saving of €11.40 per ticket.

Whether travellers actually benefit from lower fares remains uncertain. The air passenger tax is levied on airlines rather than directly on passengers, so carriers will decide whether to pass the savings on through cheaper ticket prices or absorb them to offset rising operating costs. For many members of the African diaspora who regularly travel between Germany and their countries of origin, however, the tax cut could help reduce the cost of long-haul travel if airlines choose to reflect the lower tax in their fares..

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New customs rules for online shopping

Consumers ordering goods from outside the European Union should be aware of an important change. The €150 customs exemption for imports from non-EU countries has been abolished. A temporary flat customs duty now applies instead to lower-value purchases from international online retailers and marketplaces, such as Shein and Temu.

The measure is intended to create fairer competition for European retail businesses while helping reduce fraud and excessive parcel shipments.

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Stronger traffic enforcement

Germany is also tightening road traffic regulations.

Selling or buying penalty points for traffic offences, a loophole that previously allowed drivers to avoid sanctions, will now carry fines of up to €30,000.

Authorities will also be allowed to use automated “scan-cars” to identify illegally parked vehicles, and the limitation period for issuing traffic fines has been doubled from three to six months.

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A month of practical reforms

Taken together, the legal changes in July reflect the government’s attempt to balance social support with greater personal responsibility while modernising public services and promoting sustainability.

For everyone living in Germany, whether German citizens or foreign residents, the changes underscore the importance of staying informed. From welfare rules and pensions to online shopping, healthcare and taxation, many of the reforms will have practical consequences for everyday life.

Femi Awoniyi


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