Payroll Services
Monthly payroll for your German employees — including SOKA-BAU, A1 certificates, and all requirements for posted workers.
The Problem
Payroll in Germany is one of the most complex areas for foreign employers. The social insurance system with its five pillars, wage tax classes (Lohnsteuerklassen), and sector-specific obligations requires expertise that most foreign HR departments simply do not have.
Posted Workers
The Posted Workers Act (AEntG), Minimum Wage Act (MiLoG), reporting to customs, and binding collective agreements like SOKA-BAU create overlapping compliance requirements.
Social Insurance
Five pillars of social insurance, each with its own contribution rates, thresholds, and filing requirements — a minefield for foreign employers.
Severe Penalties
Errors in filings, late payroll tax returns, or unpaid contributions can lead to back payments, penalties, and even criminal consequences for undeclared work.
What We Do
Monthly Payroll
Preparation of legally compliant payslips for all employment relationships — full-time, part-time, mini-job, short-term employment.
Social Insurance Filings
Registration, deregistration, and changes with social insurance carriers (health insurance funds, German Pension Insurance). Communication with collection offices.
Payroll Tax Returns
Monthly or quarterly payroll tax returns with the tax office (Finanzamt). Maintenance of payroll accounts. Payroll tax certificates at year end.
A1 Certificates
Application for A1 certificates from the German Pension Insurance or health insurance fund for posted workers — proof of social insurance status for assignments in other EU countries.
SOKA-BAU Filings & Contributions
Registration and monthly filings with the Sozialkasse der Bauwirtschaft (SOKA-BAU) for construction companies. Calculation and payment of holiday and vocational training contributions.
BG BAU Registration
Registration with the Berufsgenossenschaft der Bauwirtschaft (BG BAU) and reporting of wages for accident insurance contributions.
Minimum Wage Compliance
Verification of compliance with the statutory minimum wage (MiLoG) and sector-specific minimum wages under AEntG. Documentation support for customs inspections.
Certificates & Confirmations
Employment certificates for the Federal Employment Agency (Agentur für Arbeit), salary confirmations for authorities, social fund certificates, and proof-of-earnings documents.
Posted Worker Registration
Support with registration of posted workers with customs via the online reporting system of the Finanzkontrolle Schwarzarbeit (FKS).
Process
Initial Registration & Master Data
Collection of all employee data (personnel master records), review of existing registrations with health insurance funds, pension insurance, and Berufsgenossenschaften. Clarification of posting status and collective agreement obligations.
Monthly Data Submission
You submit variable payroll components (hours, bonuses, expenses, non-cash benefits) by the agreed deadline. We prepare payslips and make them available.
Social Insurance & Contributions
We transmit all filings electronically to the relevant authorities and provide contribution statements for payment.
SOKA-BAU Filing (Construction)
Monthly reporting of gross wage totals and holiday entitlements to SOKA-BAU by the 15th of the following month.
Year-End Payroll
Preparation of payroll tax certificates, annual filings with the pension insurance, DEÜV annual notifications, SOKA-BAU annual statement.
Who We Work With
Companies deploying workers on German construction sites — particularly from Poland, Czech Republic, Romania, and other EU countries.
Companies employing local workers in Germany who need to ensure full HR compliance.
Companies with caretakers, cleaners, or administrative staff in Germany.
Companies with sales representatives or warehouse workers in Germany.
Companies posting workers to Germany for the first time who are unfamiliar with the bureaucratic requirements.
Particular expertise in construction sector payroll — we know the specifics of SOKA-BAU, BG BAU, minimum wage documentation, and posted worker registrations from years of practical experience.
Related services
First payroll run in Germany?
Whether you are starting fresh or looking to professionalise an existing payroll operation — talk to us.
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