🌈 A quick taster for you:
- As of October, you can earn up to €520 from a mini-job.
- On our CashDay you can already secure up to 100€.
- The concept of mini-jobs faces heavy criticism.
🧐 Why do I care?
In Germany, more than 6 million people — including students and pensioners — have a mini-job. Until recently, the earnings limit for such a job was €450, and the whole amount goes tax-free into the person’s pocket. So, good news: the traffic light coalition has announced that the minimum wage will increase from 1st October, which means that people working a mini-job can earn €70 more. But this announcement is also attracting criticism... read on to find out why!
Long before 1st October, right now, we are introducing CashDay. We promised you that we will always help you stay liquid and we keep our promises. The first accounts are being opened and in order for you to benefit directly from us, we have introduced CashDay. Sounds exciting? Find out what exactly you have to do now!
🔍 What exactly is happening here?
- €520 from October 1st
The Federal Minister of Labor, Hubertus Heil, has announced that the upper earning limit for mini-jobs will increase from €450 to €520 on October 1st, 2022. KA-CHING! This increase is linked to an increase in minimum wage to €12ph. Many companies voiced concern that a higher minimum wage would lead to a decrease in the number of hours worked by people with mini-jobs. To prevent that situation, the government is allowing people with mini-jobs to earn €70 more per month by continuing to work the same amount of hours. Sounds like a win-win, doesn't it? Well…
- What the F**K is the CashDay?
Every day you prove to us how incredibly creative you are and that's why we will now reward the most creative posts, comments, feed posts or stories with up to 100€ once a week in February. Every follower can vote for the winners on our Instagram channel. The money will of course be paid directly to the OWWN account, so that there is of course also an exclusive access. Yesterday, @falkosaurin was the first to earn 15€.
- Criticism of the new earnings limit.
Trade unions aren’t happy with the whole situation. Sure, employees benefit from the rise in earnings, but they’re still not protected against unemployment and they aren’t entitled to sick pay. In the last 2 years these problems have been particularly noticeable as lots of people lost their mini-job due to the pandemic but couldn’t benefit from services such as short-time allowance.
There’s also criticism of the mini-job concept in general. Although at first glance it might look like a good deal — especially for people wanting to work part-time — mini-jobs soon look a lot less promising when you realize how little those people have in their pension pot. You can read more about this in our previous edition of The Briefing.
- Fast money!
The traffic light coalition is focusing the conversation around the immediate short-term benefits of these changes. Students and pensioners immediately get a little boost in income — and in the eyes of the politicians this solves a major problem. In the longer term, of course, we hope that everyone will be able to work in permanent and secure jobs.
- Salary increases won’t be for everyone.
According to the federal government, the increase in the minimum wage will mean that an extra 1.63 billion euros will be paid to employees. Unfortunately this doesn’t mean everyone will benefit. Trainees, and interns are excluded from the increase in wages. However, even in those positions we would recommend that you ask to be paid the minimum wage — you’re worth it!
🤓 What does this mean for me?
If you’re currently working in a mini-job then it’s good news: from October you’ll be able to earn more money. So, if you’re already managing to make ends meet, then you’ll soon be able to treat yourself to something nice. Or, you could use some of the money to start thinking about a private pension — you can start with as little as €25 per month.
Time flies — the first month of the year is already over!. Feel free to follow us on Instagram for more insights on OWWN. See you there!