Correction country-of-residence factor Germany
From 2017 to 2019 the country-of-residence factor set for Germany was too high. Are you a treaty-entitled person and did you live in Germany during that period? If so, the amount of the healthcare contribution that was deducted or that you paid was too high.
Why has the country-of-residence factor for Germany been adjusted?
We use the country-of-residence factor to adjust your healthcare contribution according to the level of healthcare in your country of residence. Each year the Minister for Health, Welfare and Sport determines the country-of-residence factor for the treaty countries. For the calculation of this we depend on data from the respective country of residence.
When calculating the country-of-residence factor for Germany, we took healthcare costs into account which are not part of the calculation afterwards. For the years 2017, 2018 and 2019, the residence factor set for Germany has therefore been too high.
Treaty-entitled persons who lived in Germany during that period therefore overpaid their healthcare contribution or the level of the healthcare contribution deducted was too high. The country-of-residence factor has now been recalculated and adjusted downwards.
To which period does the adjustment apply?
The adjustment of the country-of-residence factor for Germany applies only to the years 2017 to 2019. In previous years the country-of-residence factor had been calculated correctly.
What are the new country-of-residence factors for Germany for 2017, 2018 and 2019?
Country-of-residence factor for Germany and nominal contributions under the Healthcare Insurance Act (Zvw)
| Year | Old country-of-residence factor | Old monthly contri-bution (€) | New country-of-resi-dence factor | Nominal Zvw contri-bution (€) | New monthly contri-bution (€) |
|---|---|---|---|---|---|
| 2017 | 0,8372 | 90,00 | 0,7532 | 107,50 | 80,97 |
| 2018 | 0,9559 | 104,51 | 0,8595 | 109,33 | 93,97 |
| 2019 | 0,8701 | 100,43 | 0,7827 | 115,42 | 90,34 |
How do I calculate the new monthly contribution?
You calculate the new monthly contribution as follows:
Multiply the new country-of-residence factorby the nominal Zvw contribution for the same year. The result is the new monthly contribution.
Example 2019: 0.7827 x 115.42 = 90.34
I am a treaty-entitled person and lived in Germany in 2017, 2018 and/or 2019. What do I need to do?
You do not need to take any action. At the end of 2019 you received a letter from us containing more information.
If it becomes clear that you paid too much healthcare contribution or the level of the healthcare contribution deducted was too high, you will receive a refund from us. Find out when and how you will be notified:
- Have you received a provisional annual statement for 2017 and/or 2018? If so, you will receive a final annual statement indicating the adjustments and the correct amounts for those years. We expect to be able to send this once we have received details of your income from the Tax and Customs Administration.
- Have you received a final annual statement for 2017 and/or 2018? If so, you will receive a revised statement indicating the adjustments and the correct amounts for those years. We expect to be able to send this in the first 3 months of 2020.
- For 2019 you will receive a provisional annual statement by 30 September 2020 indicating the adjustments and the correct amounts for that year.
I am a treaty-entitled person, but do not live in Germany. Does this adjustment also affect the country-of-residence factor in my treaty country?
The adjustment of the country-of-residence factor for Germany does not affect the country-of-residence factor in other treaty countries. That means that the country-of-residence factor for 2017 to 2019 will remain the same for all other treaty countries.