How Much Tax Will You Save on Household Services?
Deduct 20 % of your labor costs directly from your German income tax — up to €4,000/year under §35a Abs. 2 EStG.
- Tax Saving
- €480
- Deductible (20 %)
- €480.00
- Maximum Amount
- €4,000
- Eligible Costs
- €2,400.00
- Not Deductible
- €0.00
- Subsidy Rate on Total
- 20.0 %
Deductible (20 %)20.0 %
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Breakdown
| Category | Amount |
|---|---|
| Labor Costs | €2,400.00 |
| Total Eligible Costs | €2,400.00 |
| Material Costs | €0.00 |
| Total Invoice | €2,400.00 |
| Tax Reduction (20 %) | €480.00 |
| Cap §35a Abs. 2 EStG | €4,000 |
| Actual Tax Saving | €480.00 |
Note: Calculation based on §35a Abs. 2 EStG (2026). Eligible: labor costs for household services such as cleaning, gardening, in-home care, or in-home childcare. Material costs are NOT deductible. Payment must be made by bank transfer (no cash). Keep the invoice for at least two years.
Background
Deducting Household Services in Germany 2026: The €4,000 Tax Credit Under §35a Abs. 2 EStG
11 Min.