Quick Summary
The contribution assessment ceiling (BBG - Beitragsbemessungsgrenze) determines up to which income social insurance contributions are calculated. Income above is contribution-free. In 2026, the limit for pension insurance is EUR 8,450 monthly.
Definition in Detail
The contribution assessment ceiling (BBG - Beitragsbemessungsgrenze) is a statutory upper limit in the German social insurance system. It determines up to which gross income contributions to social insurance are levied.
The BBG applies to:
- Pension insurance: Higher BBG (EUR 101,400/year 2026, nationwide)
- Unemployment insurance: Same BBG as pension insurance
- Health insurance: Lower BBG (EUR 69,750/year 2026)
- Care insurance: Same BBG as health insurance
Important: The BBG is adjusted annually by the federal government and is based on the development of wages and salaries.
Contribution Assessment Ceilings 2026
| Insurance Branch | Monthly | Annually |
|---|---|---|
| Pension Insurance | EUR 8,450 | EUR 101,400 |
| Unemployment Insurance | EUR 8,450 | EUR 101,400 |
| Health Insurance | EUR 5,812.50 | EUR 69,750 |
| Care Insurance | EUR 5,812.50 | EUR 69,750 |
Note: The compulsory insurance threshold (JAEG) for switching to private health insurance is EUR 77,400 annually in 2026 - not to be confused with the BBG.
Calculation Example
Comparison: Contributions at Different Income Levels
| Gross Income | Assessment Base (Pension) | Pension Contribution (18.6%) | Effective Rate |
|---|---|---|---|
| EUR 4,000/month | EUR 4,000 | EUR 744 | 18.6% |
| EUR 8,450/month | EUR 8,450 (= BBG) | EUR 1,404.30 | 18.6% |
| EUR 10,000/month | EUR 8,450 (capped) | EUR 1,404.30 | 14.04% |
| EUR 15,000/month | EUR 8,450 (capped) | EUR 1,404.30 | 9.36% |
Key insight: Those earning more than the BBG pay the same maximum contribution as someone at the BBG - the effective percentage decreases.
BBG vs. Compulsory Insurance Threshold (JAEG)
Contribution Assessment Ceiling (BBG)
- • Determines the maximum contribution
- • Income above is contribution-free
- • 2026: EUR 69,750 (health/care)
- • 2026: EUR 101,400 (pension/unemployment, nationwide)
- • Applies to all social insurance members
Compulsory Insurance Threshold (JAEG)
- • Determines right to choose private insurance
- • Only relevant for health insurance
- • 2026: EUR 77,400/year
- • Income 3 years above JAEG = private insurance possible
- • Also: Annual income threshold
Historical Development
| Year | BBG Pension | BBG Health | Change |
|---|---|---|---|
| 2024 | EUR 101,400 | EUR 62,100 | - |
| 2025 | EUR 101,400 | EUR 64,350 | +3.6% |
| 2026 | EUR 101,400 | EUR 69,750 | +2.8% |
The BBG increases annually according to wage development. The values are set by the federal government by ordinance in the autumn of the previous year.
Frequently Asked Questions
What does contribution assessment ceiling mean?
The contribution assessment ceiling (BBG - Beitragsbemessungsgrenze) is the income cap up to which social insurance contributions are calculated. Income above this limit is contribution-free. In 2026, it is EUR 8,450/month for pension insurance.
What is the contribution assessment ceiling in 2026?
Pension insurance: EUR 8,450/month (EUR 101,400/year). Health/care insurance: EUR 5,812.50/month (EUR 69,750/year).
What is the difference to the compulsory insurance threshold?
The contribution assessment ceiling determines the maximum contribution. The compulsory insurance threshold (JAEG, 2026: EUR 77,400) determines when employees may choose private health insurance. Both are adjusted annually.
Who pays social insurance contributions above the ceiling?
Nobody. Income above the contribution assessment ceiling is exempt from social insurance contributions. This means: High earners pay a lower percentage of contributions than low earners.
Why are there different contribution assessment ceilings?
Higher limits apply for pension and unemployment insurance than for health and care insurance. Since January 1, 2025, there are no more regional differences between West and East Germany - the BBG is uniform nationwide.
Legal Notice
The contribution assessment ceilings are adjusted annually pursuant to § 159 and § 160 SGB VI as well as § 223 SGB V by statutory ordinance. The values for 2026 were set by the Social Insurance Calculation Values Ordinance 2026. Status: February 2026.