Key points
The €600 rule is a tax exemption for eligible employer benefits provided in addition to salary. It is not a flat health insurance subsidy and does not automatically make a gym or app subscription tax exempt.
What the €600 rule actually means
Under section 3 no. 34 of Germany's Income Tax Act, certain health promotion benefits can be tax exempt up to €600 per employee per calendar year. They must be provided in addition to contractual salary and meet statutory quality requirements. The employer funds an eligible service; the health insurer does not automatically pay out €600.
Legal basis: section 3 no. 34 of the German Income Tax Act
Which services may qualify?
Eligibility depends on the specific activity. A general focus on health is not enough. The Federal Ministry of Finance guidance explains requirements and evidence for prevention courses and workplace health promotion. Gym membership fees, for example, do not qualify solely under this rule. Assess the course, platform and support separately when considering a package.
Federal Ministry of Finance guidance on services and evidence
Example: covering only the remaining cost
Illustrative calculation, not a funding commitment: an employee pays €150 for an eligible course. Their health insurer reimburses €100 after attendance. If the employer then covers the remaining €50, those residual costs form the basis of the employer benefit. The insurer's rules and tax treatment must fit the individual case.
| Item | Example amount |
|---|---|
| Course fee actually paid | €150 |
| Assumed insurer reimbursement | €100 |
| Remaining course cost | €50 |
If the employer pays the entire course fee, employees cannot submit the same expense again as their own cost. Document the reimbursement and residual expense clearly.
Checklist before booking
- Check the eligibility of the specific service with payroll.
- Ensure the benefit is provided in addition to salary.
- Check certification and attendance requirements where applicable.
- Document the invoice, payment and attendance.
- Account for insurer reimbursements already requested or received.
- Record other eligible benefits in the same calendar year.
Connect your health budget with a suitable program
A budget alone does not create participation. Decide how employees will hear about the offer, how they can get started and who can answer questions. Plan the remaining employer cost, including the platform, communication and support. This provides a fair basis for comparing specific offers.
All funding routes for employers in Germany
Sources and context
Editorial source review: 04 October 2026. The linked sources explain the evidence and its limitations.