Schwarz-Rot: The coalition negotiations are about your money

Pension, taxes, child benefit and funding programs: For many ideas that the CDU, CSU and SPD in their coalition negotiations, are also about the money of the citizens. If you earn a lot, you could possibly be asked to pay more. In other places, relief and aid are waving.

However, a lot of things that the specialist politicians have put together in 16 working groups is still vehemently disputed. What really ends up in the coalition agreement is open – and will be decided in the top round in the next few days. At the very end there is a large financial check to check which project a new federal government can afford. Because despite huge new debt options, the money is still scarce.

These are the most important ideas that citizens could feel on the account:

There is an indication of relief from many high earners who currently have to pay the top tax rate. The income limit for this is to be raised, the Union proposes 80,000 euros taxable income, the SPD 83,600 euros. In return, the SPD also wants to increase the tax rate significantly from 42 to 47 percent. And it wants to raise the rich tax that is still above the top tax rate. So far the Union has not participated.

It is already firmly agreed that the commuter flat rate should increase – but without more precise information. This would relieve everyone for tax purposes, commute further routes to work, whether by car or by train or bike.

Those who have a lot of assets or inherit valuable companies could be asked to pay more – if the SPD prevails. It wants to introduce a wealth tax and put exceptions to the inheritance of companies. In addition, the Social Democrats propose to increase the compensation tax to private capital income from 25 to 30 percent, so savers would have to compress more. The Union rejected all of this in the working groups.

Both the SPD and the Union make pension suggestions that could be expensive for employees and employers. The SPD wants to keep the current pension level of 48 percent, the Union wants to improve the mother’s pension. If both are paid from the pension funds without additional tax funds or other sources of financing, the contribution rate could increase from 18.6 percent today to up to 22.9 percent in 2040. Union and SPD are not yet in agreement.

In the future, it should be worthwhile to work more voluntarily – with overtime or even in retirement age. According to the will of the Union and the SPD, you should not have to pay taxes on certain overtime surcharges. Pensioners who continue to work voluntarily should be able to receive up to 2,000 euros per month tax -free. Even those who take full time from part -time to full -time could be rewarded for tax purposes.

Health and long-term care insurance has become more expensive for millions of citizens at the beginning of the year- and because of increasing costs, new financial holes are facing. So that the contributions do not keep going, additional tax billions could be directed to statutory health insurance. Whether this happens must also be clarified in competition with other output requests.

A bonus could wave to children with children: the Union wants the third child and all other children to have a little more child benefit than for the first two. In 2023 the payment had been standardized, since then parents have had the same sum for each child. It is unclear whether the plan will be implemented, the SPD did not have the proposal in the working groups.

Union and SPD want to check fines for landlords who violate the rental price brake, i.e. demand too much rent when moving to a popular residential area. The SPD wants to limit rent increases in these areas even more with existing contracts – but the Union has not yet participated.

This plan is primarily intended to relieve the industry, but all citizens also benefit: the electricity tax is to fall on the minimum value permitted in the EU. This could bring relief of at least five cents per kilowatt hour.

Union and SPD discuss a BAföG increase in the winter semester 2026/27. The flat rate for housing costs for students who no longer live with the parents could rise from 380 to 440 euros a month. Later, the so-called basic BAföG could be adapted to the level of basic security.

If you buy an electric car, you could get a state premium again in the future – but this is still controversial between the Union and the SPD. The parties agree that there should be more tax advantages for electric cars.

If you incorporate climate -friendly heating such as a heat pump, you can continue to expect state funding. The exact scope is unclear. There could also be changes in social staggering.

From 2027, users of the Germany ticket in local transport must prepare for a significant price increase. In this and next year, the price of currently 58 euros a month should remain stable. What it will cost from 2027 is still unclear – the federal government must also negotiate with the federal states.

Here the coalition working groups were not entirely agreed: air traffic tax may be reduced and the increase in May 2024 is withdrawn. Airlines had removed flights from German airports with reference to the higher costs. The hope could be that more goals will soon be flown again or the tickets will be cheaper – but that is certainly not.

For trainers in the sports club, choir director and other volunteers, the tax flat rate is to be increased. You could earn up to 3,300 euros for your work without additional taxes.