What do Germany’s care reforms mean for you?

Germany’s federal cabinet has approved the draft of the Care Reorganisation Act (Pflegeneuordnungsgesetz), aimed at addressing a budget shortfall of around 8 billion euros. Federal Health Minister Carsten Linnemann (CDU) stated that this reform marks the initial step towards stabilizing Germany's long-term care system. Long-term care insurance (Pflegeversicherung) has been integrated into Germany's social security system since 1995, ensuring that everyone needing long-term care can access it without financial strain.

The reform will affect both employees contributing to the insurance scheme and those already receiving care.

For workers, the base rate of 3.6% of annual income towards long-term care insurance will remain unchanged, but the additional surcharge for those over 23 without children will rise from 0.6% to 0.9%. Consequently, employees without children will start paying 4.5% of their annual income to long-term insurance in 2027. Spouses and civil partners will now be required to contribute 0.52% to insure their non-working partners from 2027.

A higher income threshold of 6,112.50 euros per month (up from 5,812.50 euros) will apply for contributions.

Care workers will shoulder even more responsibilities, as they will be required to perform tasks previously needing a doctor's authorization, such as wound dressing and diabetes management, while having some tasks streamlined, like reduced daily documentation. Care assistant training will also be standardized nationwide. Informal caregivers will receive monthly financial support of 300 euros to cover daily expenses.

For those currently receiving care, the specifics of the changes have yet to be disclosed. However, the government plans to reorganize the assessment of care levels, which determine the benefits and services recipients are entitled to. The relief contribution of 131 euros per month for level one care recipients will be eliminated.

Additionally, individuals aged 60 and over will be entitled to a "Check-up 60+," a doctor's appointment aimed at early detection of health issues. Following the cabinet's approval, the draft law will proceed to the Bundestag and Bundesrat for further consideration, potentially undergoing more changes before its implementation in 2027.