The basis for calculating leave fund contributions is the gross wage payable to each worker. Generally, it is based on the employment contract in conjunction with the statutory or collectively agreed terms prevailing in the state which a worker is posted from.
The leave fund contributions listed below are payable on a monthly basis by posting companies to SOKA-BAU
- 14.30% from January 2010 to December 2013
- 15.30% from January 2014 to December 2014
- 15.10% from January 2015 to December 2015
- 14.50 % from January 2016 to December 2018
- 15.40 % from January 2019 to December 2021
- 15.20 % since January 2022
and are determined by the monthly gross wages of all workers posted to Germany. The monthly contributions must be credited to SOKA-BAU’s bank account by the 28th of the following calendar month. Otherwise, interest on arrears of 0.9% per month or part thereof will be charged on any overdue contribution.