In Germany, the costs for old age nursing care benefits are increasing annually. To counteract this, the German Federal Council confirmed a draft law1 on 16 June 20232, which includes an adjustment to the contribution rates tied to statutory nursing care insurance. The contribution rate will change for every employee that is subject to German social security legislation as of 1 July 2023. The contributions will be calculated based on the number and the age of the employee’s children.
The law enters into force on 1 July 2023.