Germany's perfect social welfare guarantee system is universally recognized. According to Article 20, paragraph 1, of the German Basic Law, the Federal Republic of Germany is a federal state of democracy and social welfare. The fundamental principle of the social welfare state is to require both solidarity and mutual assistance, and individual responsibility. To realize these principles, the state has created an extensive network of social welfare laws, ranging from protection against illness, need for care, accidents and old age, to child allowances, housing allowances or unemployment benefits. In addition to this, the state guarantees basic living conditions.
1) Medical insurance
All people living in Germany must take out medical insurance. All insured persons are free to choose among accredited medical insurance doctors and dentists. Medical insurance institutions pay for treatment, in addition to medicines, auxiliary tools, hospitalization medical expenses and health prevention measures. Insurance institutions also bear all or part of the cost of convalescence. For example, a 38-year-old male policyholder has a monthly premium of 90 Euros; if it is necessary to insure the whole family (spouse and an unlimited number of children), it is approximately 200 Euros. After paying this amount, all medical expenses will be paid by the government; in the case of fillings or glasses, the government will bear half of it. If the Chinese investor plans to move the family to Germany, it is recommended to purchase statutory medical insurance, that is, one person will insure the whole family and benefit. If you are currently unable to get out of the Chinese business and temporarily intend to enter Germany every 6 months, then it is recommended to purchase private medical insurance to benefit only the insured person; depending on age and gender, the monthly cost is 70-120 euros.
2) Children's gold
Each child can receive a child's gold of 218 euros per month from the government; starting with the fourth child, each child can receive 240 euros per month. This money can at least bring the child to 18 years of age; if you continue to college education after the age of 18, then this money can be 21 years old. Free education All children in Germany can enjoy free education from kindergarten to doctorate. From kindergarten, lunch and textbooks are free; when you enter the university, you can also receive a bursary of about 400 euros per month.
3) Pension insurance
Statutory pension insurance is the mainstay of social security in Germany. It ensures that employees can maintain an appropriate standard of living after ending their professional life. According to the law, all employees must participate in pension insurance, and freelancers (self-employed) can choose whether to participate in pension insurance. Generally, those who are 67 years of age or older can receive pensions, but they can also receive pensions when they are 63 or younger, if certain conditions are met. The amount of pension is determined by work income. For Chinese investors, old-age insurance is similar to a zero deposit and withdrawal financial product, which deposits a small amount every month and receives principal and interest after retirement. Comprehensive calculation, the annual investment return rate is about 4%.
4) Unemployment insurance
All employees (employees, employees, homeworkers and trainees) must participate in unemployment insurance. Unemployment insurance costs are borne in half by employees and employers. Unemployment benefits are usually 60% of the salary at work (67% if there is one child). The time limit for obtaining unemployment benefits depends on age.
5) Nursing insurance
The monthly premium is about 30 Euros. Once the insured person becomes ill, the medical insurance company sends nursing staff to provide comprehensive care in the insured's home. In addition to medical care, it also includes basic life care. Because of the high cost of labor in Germany, nursing insurance appears to be excellent value for money, and investors are advised to participate.
6) Social assistance
In Germany, people who are unable to support themselves can receive social and economic benefits. According to the Social Relief Law, every German resident in such a dilemma, whether German or foreign, can ask the government to provide social relief. The social relief fund is mainly provided by the local government. Taking a family of three as an example, after the comprehensive conversion of the received relief fund, it is about 1200 euros per month.