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Company Bike, Jobticket and Meal Allowance: Using Benefits Well

Company bike, Jobticket and meal allowance in Germany: what the employer may pay tax-free, where the catches are and what to clarify before you sign.
Berufseinsteigerin mit Mitarbeiterausweis am ersten Arbeitstag

Contents

Bike leasing (Jobrad or Dienstrad), the public transport subsidy (Jobticket) and meal allowances are common employer benefits, and many people use them incompletely. Knowing what is tax-free, where the catches are and which questions to ask your employer helps you decide.

Short answer: An employer’s contribution to a Jobticket (public transport season ticket) is tax-free under section 3 no. 15 EStG, and so is an employer-provided company bike under section 3 no. 37 EStG. Both apply only if they are granted in addition to the wage you already owe. Non-cash benefits stay tax-free up to 50 euros per calendar month (section 8 (2) sentence 11 EStG, as of October 2026).

Key points at a glance

  • An employer’s Jobticket contribution is tax-free if it covers scheduled public transport between home and your main place of work (section 3 no. 15 EStG).
  • A company bike provided by the employer is tax-free if it is not a motor vehicle (section 3 no. 37 EStG).
  • Non-cash benefits such as vouchers are tax-free up to 50 euros per calendar month. Vouchers and payment cards qualify only if they are granted in addition to your wage.
  • A meal allowance paid in cash is generally taxable wages. A meal benefit in kind follows different rules, based on official benefit values.
  • With salary sacrifice (Gehaltsumwandlung), the effect depends on your contract. Have the consequences for tax and social insurance confirmed in writing before you sign.

How does the Jobticket work for tax purposes?

Your employer may pay a tax-free contribution towards journeys on scheduled public transport, provided it is granted in addition to your wage (section 3 no. 15 EStG). Flights are excluded. The tax-free contribution reduces the commuting allowance (Entfernungspauschale) you can claim. For you, the net benefit matters most.

Assumption: the ticket costs 60 euros per month (an example figure, not a price) and your employer pays half. You then receive 30 euros tax-free. Whether that pays off depends on what you spend on your commute and how you claim the commuting allowance. Your payroll department should be able to answer this.

What does a company bike offer, and what should you check?

With a company bike, your employer makes a work bicycle available, often an e-bike. The benefit is tax-free under section 3 no. 37 EStG. The rule covers bicycles only, not motor vehicles, and only if it is granted in addition to your wage. Many schemes therefore run through salary sacrifice, which needs separate checking.

Before you sign, clarify these points:

  1. Term and cancellation rules: what happens if you leave the employer before the contract ends?
  2. Buyout and return: who pays for damage, theft or loss?
  3. Insurance: is the bike insured against theft and damage, and who pays the premium?
  4. Salary sacrifice: how does it affect your gross pay, social insurance contributions and later benefits such as parental allowance?

Meal allowance: cash or benefit in kind?

Whether a meal allowance is tax-free depends on its form. If it is granted as a benefit in kind, such as meal vouchers or a meal card, the official benefit values for meals apply. The Federal Ministry of Finance sets these values every year. The rules for 2026 are set out in the ministry’s letter of 29 December 2025 on the tax treatment of meals (source below). A cash meal allowance is generally taxable wages.

Frequently asked questions

Do I have to pay tax on a benefit I do not use?

No. Only the benefit you actually receive is taxable. If you do not use a Jobticket, there is no benefit, and the contribution does not form part of your wage. Still, check whether the employer pays the contribution only when you use it.

Is a Deutschlandticket tax-free as a Jobticket?

The Jobticket is a contribution towards scheduled public transport. Your employer or the transport company can confirm whether a specific ticket qualifies. What matters is the purpose: journeys between home and your first place of work.

Can I keep a company bike after changing jobs?

Usually not. The bike belongs to the employer or the leasing provider and stays with the former employer. Many contracts allow a takeover against the residual value. Check your contract to see whether this is possible.

Next steps

  1. List every extra benefit your employer offers, and ask in what form it is granted: contribution, benefit in kind or salary sacrifice.
  2. Ask for written information on tax and social insurance before you sign a salary sacrifice agreement.
  3. Compare the net effect using a worked example, for instance with your first payslip.
  4. After a year, check whether the benefit still suits your commute and adjust how you use it.

Keep payslips and contract documents safe. If the tax office or a new employer asks which benefits you received in which month, this is the proof you will need.

Which benefit suits you?

Which benefit fits depends on your commute, your eating habits and your contract. The overview helps with a first assessment.

BenefitUsually suits you ifWhat to check
Jobticket contributionyou commute daily by bus or trainContribution on top of your wage, effect on the commuting allowance
Company bikeyou cover short to medium distances by bikeTerm, buyout value, insurance and return
Meal benefit in kindyou eat regularly in a canteen or partner restaurantForm of the benefit and compliance with the official benefit value
Benefit in kind up to 50 eurosyou want a flexible voucher or payment cardThe limit works as an exemption threshold, see the example

The 50 euro limit in a worked example

Assumption: your employer gives you a voucher worth 50 euros per month on top of your wage. This amount stays tax-free. If the voucher is worth 60 euros instead, the whole 60 euros is taxable, not only the 10 euros above the limit. The rule works like an exemption threshold rather than an allowance. Check your monthly payslip before you plan on extra vouchers.

The limit applies to all benefits in kind together. If you receive a meal voucher and another benefit in kind, both are added up. Ask payroll which items are counted.

Related guides

Sources: Section 3 EStG, no. 15 and no. 37 (retrieved October 2026); Section 8 EStG, benefits in kind (retrieved October 2026); BMF letter of 29 December 2025 on the tax treatment of meals from 2026 (in German).

Last updated: October 2026. This guide is general information, not individual advice.

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