Krankengeldes

Krankengeld, often translated as sickness benefit or sick pay, is a statutory payment in Germany provided to employees who are unable to work due to illness. It is a core component of the German social security system, ensuring that individuals do not suffer a complete loss of income during periods of incapacitation. The primary purpose of Krankengeld is to bridge the financial gap between the loss of regular earnings and a potential return to work, or in some cases, to provide support during prolonged recovery.

Entitlement to Krankengeld generally arises after an employee has been unable to work for a continuous period of six weeks due to the same illness. Prior to this six-week period, the employer is obligated to continue paying the employee's full salary as part of the "Entgeltfortzahlung im Krankheitsfall" (continued wage payment in case of illness). Once the Krankengeld payments begin, they are disbursed by the statutory health insurance funds (gesetzliche Krankenversicherung).

The amount of Krankengeld is typically calculated as a percentage of the employee's previous gross income, usually around 70% of the gross wage, but not exceeding 90% of the net wage. There are also maximum contribution limits that influence the calculation. The duration for which Krankengeld can be received is generally limited to a maximum of 78 weeks within a three-year period for the same illness. After this period, if the individual is still unable to work, they may be eligible for other social benefits such as reduced earning capacity pension (Erwerbsminderungsrente).