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Majority of companies pay inflation compensation

Up to 3000 euros tax and duty free: many smaller and larger companies pay their employees an inflation compensation bonus. The motivation varies.

Many employees can look forward to an inflation adjustment. Photo.aussiedlerbote.de
Many employees can look forward to an inflation adjustment. Photo.aussiedlerbote.de

Survey - Majority of companies pay inflation compensation

72% of the companies surveyed by the Ifo economic research institute have already paid their employees a tax and duty-free inflation adjustment. A further 16 percent intend to pay this bonus in the near future.

"Small companies mainly focus on motivating their workforce, while large companies pay out more often in the event of a collective wage agreement," said Ifo expert Daria Schaller on Wednesday. Every second company cited tax advantages or its competitiveness on the labor market as reasons. Only 12 percent of the companies surveyed do not want to pay a bonus.

Since October 2022, employers have been able to give their employees up to 3,000 euros tax and duty-free as compensation for inflation. Payment is still possible until the end of this year.

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Source: www.stern.de

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