What tax benefits do I have as a student in a mini job?
December 24, 2022 | 50,00 EUR | answered by Konrad Falk
Dear tax lawyer,
My name is Simon Walter and I am currently studying at the university. To finance my studies, I have taken on a part-time job where I earn up to 450 euros per month. Now I wonder what tax benefits I have as a student with a part-time job and how I can optimize them.
Currently, as a student, I am exempt from income tax because my income is below the basic personal allowance. However, I am unsure whether as a part-time worker I also have to pay other taxes such as pension insurance or health insurance. Additionally, I would like to know if as a student I can deduct certain expenses such as textbooks, learning materials, or travel costs from taxes.
My concern is that as a student, I may not be fully utilizing tax benefits and end up paying too much in taxes. Therefore, it would be very helpful for me to learn about the possibilities to save taxes as a student with a part-time job and what tax allowances or lump sums I am entitled to.
Could you please specifically outline for me what tax benefits I have as a student with a part-time job and how I can best utilize them to improve my financial situation? I look forward to your professional advice and thank you in advance for your support.
Sincerely,
Simon Walter
Dear Mr. Walter,
Thank you for your inquiry regarding your tax situation as a student with a mini job. I would be happy to explain to you the tax benefits available to you as a student with a mini job and how you can make the most of them.
As a student, you are generally exempt from income tax as long as your income is below the basic tax-free allowance. The basic tax-free allowance is currently set at 9,744 euros per year (as of 2021) and is adjusted annually. Since you earn up to 450 euros per month, you should be below this allowance with your mini job and therefore should not have to pay income tax.
However, there are other contributions that you may have to pay as a mini jobber. For example, mini jobbers are generally required to pay a flat-rate contribution to the pension insurance. This currently amounts to 15 percent of earnings, of which the employer covers half. As an employee, you only pay 7.5 percent. Mini jobbers also typically have to pay contributions for health insurance, depending on the amount of their earnings.
Regarding your expenses as a student, there is also the possibility to claim certain costs for tax purposes. These may include academic literature, study materials, or travel expenses. These costs may be deductible as business expenses or special expenses. It is important to keep all receipts and document these costs thoroughly in order to declare them in your tax return.
To make the most of your tax benefits as a student and save on taxes, I recommend keeping careful records and documenting all relevant expenses. Additionally, I suggest familiarizing yourself early on with the topic of tax returns in order to take full advantage of all opportunities for tax savings.
I hope this information is helpful to you and I am available to answer any further questions you may have. Best of luck and all the best in your studies!
Best regards,
Konrad Falk
