Until now, employees with private health insurance (PKV) had to submit paper certificates about their contributions to their employer each year. From January 1, 2026, this changes: Contribution data will be transmitted electronically. This simplifies processes – but also brings some important changes.
What Changes in 2026?
Private health insurers will now transmit their policyholders' contribution data electronically to the Federal Central Tax Office (BZSt). From there, the data is forwarded to employers as part of the electronic wage tax deduction characteristics (ELStAM).
In practice, this means:
- No more paper certificates required
- PKV contributions appear automatically in ELStAM
- Employers retrieve data electronically as usual
- Changes are transmitted promptly
The launch was originally planned for 2024 but was postponed to January 2026 due to technical challenges.
How Does the New Data Exchange Work?
Insurance companies must transmit contribution data for the coming year by November 20 of the previous year at the latest. For new contracts or contribution changes, transmission occurs promptly.
Two new ELStAM characteristics are being introduced:
- Monthly PKV contributions for the tax-free employer subsidy
- Monthly PKV contributions for calculating the allowance for precautionary expenses
As an employer, you typically receive this data in December for the following year – together with other wage tax deduction characteristics.
Insured Family Members
For family policies, contributions are assigned to the policyholder – not to co-insured persons. For example, if a spouse is co-insured, they won't receive separate contribution data in their ELStAM.
Right to Object and Its Consequences
Insured persons can object to the electronic transmission of their data. However, this has consequences: The employer then receives no contribution data and may not accept paper certificates as a substitute.
As a result, no PKV contributions are considered in wage tax deduction when there's an objection – leading to a higher tax burden. It's advisable to proactively inform your employees about this regulation.
Transition Period for 2026 and 2027
There's a transitional arrangement for the initial phase: If PKV contributions aren't transmitted or are transmitted incorrectly due to technical reasons, employers may exceptionally accept paper certificates in 2026 and 2027.
This exception doesn't apply if the insured person has actively objected.
Changes to the Allowance for Precautionary Expenses
The new procedure also changes the rules for the allowance for precautionary expenses (Vorsorgepauschale) – affecting all insured persons, not just those with private insurance.
Elimination of Minimum Allowance
Previously, a minimum allowance of 12 percent of wages was applied for wage tax deduction (maximum €1,900 per year, up to €3,000 in tax class III). This minimum allowance is completely eliminated from 2026.
New Calculation for PKV-Insured Employees
Instead of the flat rate, actual PKV contributions from ELStAM will now be used. For employees receiving an employer subsidy, this is deducted. For civil servants who don't receive a subsidy, contributions are fully included in the calculation.
New Component for Unemployment Insurance
As a replacement for the eliminated minimum allowance, a component for unemployment insurance will be considered from 2026 – provided the sum of all components (health, long-term care, and unemployment insurance) doesn't exceed €1,900.
What Does This Mean for HR?
The transition brings several to-dos for HR departments:
- Check software: Ensure your payroll software supports the new procedure
- Inform employees: Explain the new process to PKV-insured staff and point out the consequences of objecting
- Verify first payroll: Check in January 2026 whether PKV data has been transmitted correctly
- Use transitional procedure: For technical problems, you can still accept paper certificates in 2026 and 2027
- Consider co-insured persons: For co-insured spouses in tax class V or VI, the tax burden may increase
Conclusion
The new electronic reporting procedure for PKV contributions is another step toward digitizing payroll. For employers, it means less paperwork and automated data transfer. However, the transition requires attention – especially for the first payroll run in 2026 and for special cases like co-insured family members.