Hourly minimum compensation

Germany's statutory minimum wage sets the lowest hourly compensation employers must pay workers. As of 1 January 2026, the minimum wage is 13.90 euros gross per hour. This rate applies to most employees in Germany aged 18 and over, regardless of sector or job classification. The minimum wage covers all forms of work performed under an employment contract and includes regular wages, bonuses, and other compensation paid during the pay period.

The rule is established under the Mindestlohngesetz (Minimum Wage Act) and enforced by the Finanzkontrolle Schwarzarbeit, a division of the German customs authority. The German government sets the minimum wage annually based on recommendations from an independent commission that reviews wage trends and economic conditions.

The minimum wage increased from 12.41 euros per hour on 1 January 2025 to 13.90 euros on 1 January 2026, reflecting statutory adjustments tied to collective bargaining wage developments. Certain exemptions exist for apprentices during their first six months of training and for workers with severe disabilities, though these remain subject to separate minimum compensation rules.

Employers must ensure all payroll records document hourly rates at or above the statutory minimum. Violations can result in significant fines and back-wage liability. Payroll teams should verify that all employee compensation, including shift premiums and allowances, meets or exceeds the current minimum wage threshold when calculating gross hourly earnings. Regular audits of wage calculations help ensure compliance with this mandatory floor.