I’ve recently received a job offer in Germany. Given the complexity of tax differences and exchange rate differences I’m hoping someone who’s been through the same can provide some insight.
Current US - PA based job: $87,000 + 10% annual bonus potential 27 PTO days, 3% 401k match, benefits. In addition to PA state income tax, where I live I’m subject to a 2.1% local income tax.
We own our home - Owe $214K, it’s valued at $250. Property taxes are around $7k per year.
We have 2 cars, 1 paid off, other with a $440 monthly payment (owe $22k, valued at $25k)
Kids are in school - grades 11, 2, and pre school. They currently do no speak German. Wife does not either.
The job offer is in the Frankfurt, Germany area, though my actual sphere of responsibility would cover from Köln down to include all of Switzerland. I speak the language relatively fluently.
Job offer is at €92,000 + 48% annual bonus potential. Company car is provided with an unlimited use gas card (can be used for personal use). Car is taxed to personal income at 1%.
35 PTO days per year. Relocation Package, Housing assistance until we sell our home, 6 severance package + return package if I loose the job without cause (bankruptcy, downsizing, etc).
I don’t have a full grasp on how medical works in Germany or the tax system. I’ve done some research and it appears that the first $100k made as an expat is not taxed in the US. I know the tax rate in Germany is significantly higher.
A few things I’m looking to figure out - what are the real Net #s likely to be in Germany? Is moving a family that doesn’t speak a language (but are all willing to learn) a bad move? I know grocery and rental costs tend to be lower in Germany. The biggest COL difference is gas and that’s covered via the unlimited use car/gas allowance.
Any insights would be very hel
Submitted February 03, 2019 at 08:01AM by ebjazzz http://bit.ly/2S61RqX
