Mannheim at a Glance
Working in Mannheim
Mannheim is an important industrial city and has a rich history in motor manufacturing. It used to be the home of Mercedes-Benz and Daimler AG (Mercedes' parent group), and continues to operate a bus and diesel engine assembly plant there. Hoffman-La Roche, a diagnostic firm specializing in pharmaceutical products has its division HQ in Mannheim, while there are also Siemens, BASF, and Bombadier Inc. plants close by. One of the largest employers of expats working in Mannheim is Südzucker, which is the biggest producer of sugar in Europe.
Expats may find employment opportunities in education as the city has a large university and many public schools. Retail jobs are also possible due to there being 2,000 stores and cafés dotted around the city.
Figures from numero.com suggest that the average monthly disposable income (after tax) in Mannheim stands at around 2,350 EUR.
Job Hunting in Mannheim
Most expats moving to Mannheim are transferring from their existing job at home, but those that aren't will still likely find many opportunities. The old-school way of finding work is by searching listings in local newspapers. The Mannheimer Morgen, Nordbadische Nachrichten and Rhein-Neckar-Zeitung are the three biggest publications in the region, each producing employment supplements.
Germany has two job centers (one for young people under 25 and the other one for those over that age). Details of these can be found on the city's official website mannheim.de (website in German).
Income Taxation in Germany
Germany has a tax system that is applied progressively depending on the level of individual income. Each person working in Mannheim is given a personal allowance of 8,354 EUR for which no tax is applied. Those earning between 8,355 EUR and 52,881 EUR are taxed on a sliding scale ranging from 14% to 24%. Incomes above 52,881 EUR to 250,730 EUR see an increase from 24% to 42%. Above that, the taxation stands at 45%.
Germany has taxation agreements with around 90 countries so that expats are not taxed twice on their income.
Additional social security payments are also required. They are split evenly between the employer and their employees. The following rates apply:
- Statutory pension insurance - 18.7%
- Unemployment insurance – 3.0%
- Health insurance - 14.6%
- Nursing care insurance - 2.35%
In most cases tax is deducted at the source by the expat’s employer. Those that are self-employed are required to file an annual return. Information on how this process can be completed is found at the Finanzamt Mannheim-Neckarstadt (website in German).
Teaser: Are you looking for job opportunities in Mannheim? This city counts with a wide industry, services and education sectors in which expats might find interesting working there. Find more about its economy, job hunting and taxation in our guide.