Young people in particular, such as high school and college students, would like to earn a little extra. Especially during college, money is often tight, which is not unusual for student life. That's why many students take on a side job. Waiting tables, working in a warehouse, working in a kitchen or delivering newspapers, for example, are just a few of the options available. However, the wish to make money on the side affects far more than just young people. Depending on your financial situation, the wish to make money on the side can affect anyone, regardless of age. When starting a family, too, it's often the case that if only the husband or the wife goes out to work, the other is interested in making money on the side, simply to improve the overall financial situation a little. In this article, we want to go over a few basics you should keep in mind when it comes to making money on the side.

Making money on the side - how much can you earn tax-free?

An important point with side income is that you naturally have to consider beforehand whether it even makes sense to take a side job paying 600 euros if the taxes on that income are relatively high. This applies in particular with regard to the upper limit for a tax-free side income, known in Germany as a mini-job. That limit is 450 euros. Until a few years ago, you could only earn 400 euros a month tax-free, but the amount was raised a few years ago. You don't have to pay tax on this side income of up to 450 euros, which makes additional earnings up to that amount very appealing to many people. It becomes more problematic if you earn 600 euros a month, for example. The taxes that then apply are relatively high, so it often pays to simply stay within the 450-euro limit. As an example, if you have a mini-job where you earn about 600 euros, only 400 euros would be left after taxes. So you might as well take a 450-euro job right away. In certain cases, however, the side job on offer comes with higher earnings, and if you're convinced at that point that the working hours are in proportion to what you actually take home after taxes, you can certainly take that side job. Incidentally, the option of earning an extra 450 euros a month tax-free in Germany also applies to people receiving Arbeitslosengeld 2 (unemployment benefit).

Making money on the side

What job options (mini-jobs) are there for making money on the side?

To close this article, we'd like to present a short list of possible mini-jobs that could be an option for you to earn extra income. Of course, we should add that there are far more options for earning a little extra each month. Still, we'd like to briefly introduce the most popular mini-jobs.

Possible mini-jobs:

  • Waiting tables (helping out in bars and restaurants)
  • Delivering newspapers or magazines
  • Working in company warehouses
  • Working at mail-order companies
  • Working from home