Thursday, April 30, 2009

(De)cipher your Kurzarbeitergeld

Kurzarbeitergeld (wage for reduced working hours) or KUG wouldn't be a new word for many employed in Germany during these turbulent economic times. Even though it is scary, I guess people who are receiving KUG should consider themselves lucky - that they still have a job in hand. 

Many undergoing Kurzarbeit would be waiting for the payslip (Brutto-Netto-Abrechnung) to find out how much they would have in hand for a month. The ones who already completed atleast a month with Kurzarbeit would be beating their brain to find out how KUG is calculated. 

In simple words, KUG is 60% of the difference Brutto (that is, difference between the Gross Salary you were receiving before Kurzarbeit and the Gross Salary during Kurzarbeit). In case, you have kids then it is slightly higher at 67%. Whatever it is, you might find that the calculations doesn't seem to match with what you have in your payslip. Forget math and follow the simple steps below to find out the Netto (Net Salary) during Kurzarbeit.

Step 1

Step 2

Fill in the Brutto before Kurzarbeit and during Kurzarbeit. For example, if your Brutto was €4000 earlier and you are currently working only 50% (that is working for 20hrs a week instead of 40hrs), your current Brutto would be €2000. 

Also fill in the other details in the form and click berechnen.

Step 3
Note down the KUG calculated (€711,87 in the example above)

Step 4

Step 5

Fill in the Brutto during Kurzarbeit (same as before) and other details and click Berechnen.

Step 6

Note down Netto-Arbeitslohn.

Step 7
Sum up the noted down KUG and Netto-Arbeitslohn. This would be your Netto including KUG for the month.
Shall I change the title to "KUG calculation for dummies"?




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