A PhD in industry differs from a PhD at a university in several ways. You are usually employed by the company, and your doctoral work is part of your job or runs alongside it. This guide explains which contract points to clarify, which fixed-term rules apply and how salary and health insurance are connected.
Short answer: If you do a PhD in a company, you usually work under an employment contract. The German Fixed-Term Research Contracts Act (WissZeitVG) applies to universities and research institutes, not to companies. Without an objective reason, a contract may be fixed-term for up to two years, with up to three extensions. There is no fixed salary figure, collective agreements or your contract decide. Below 6,450 euros gross per month (2026), you are compulsorily insured in the statutory health insurance. Last updated: October 2026.
The most important points
- A PhD in a company usually runs on an employment contract, not on a scholarship.
- The WissZeitVG (Fixed-Term Research Contracts Act) applies to universities and research institutes, not to companies.
- Without an objective reason, your contract may run for two years at most and be extended only up to three times.
- A reliable salary figure comes only from the collective agreement of your industry or from your own contract.
- If your gross salary is below 6,450 euros per month (2026), you are compulsorily insured in statutory health insurance (GKV, gesetzliche Krankenversicherung).
Which contract is typical for a PhD in industry?
Typically you sign an employment contract with the company that describes your doctoral work as part of your duties. German labour law does not know a separate “PhD contract”. Many firms, however, record the conditions in an additional agreement. It usually states how much working time is planned for the dissertation, who supervises you and how publications are handled.
| Contract type | Term | What to check |
|---|---|---|
| Fixed term without objective reason | up to two years, extendable up to three times (§ 14 para. 2 TzBfG) | Extensions in writing, timing of the doctoral phase in the contract |
| Fixed term with objective reason | tied to a reason, for example a time-limited project | Reason named concretely, term matching the project |
| Open-ended contract | no fixed term | Probation period, notice periods, rules on the doctoral phase |
A fixed term without objective reason is not permitted if you were already employed by the same employer before. This can also cover earlier working-student jobs or internships if they count as employment. Check your history with the company before you negotiate.
How long may a fixed-term contract last?
The maximum terms of the WissZeitVG apply only at universities and research institutes. There, positions after the doctorate may be fixed-term for up to six years, in medicine up to nine years (§ 2 para. 1 WissZeitVG, checked October 2026). These limits do not apply in companies. There the general fixed-term rules apply, above all § 14 TzBfG (German Part-Time and Fixed-Term Employment Act).
How to check your fixed term
- Read the start and end dates in the contract and check whether the total term stays within two years.
- Count all earlier contracts with the same employer and check whether they rule out a fixed term without objective reason.
- Note the number of extensions. More than three extensions are not permitted in a fixed term without objective reason.
- If the contract gives no reason for the fixed term, ask and have the answer confirmed in writing.
What do you earn during a PhD in industry?
There is no figure that applies to all companies. Many sectors have collective agreements that set a pay grade. Where no agreement applies, the company sets the pay individually. For that reason we do not name a euro amount that could be read as a general value. To classify your offer, compare it with the collective agreement of your sector and with the concrete offer. For public-sector pay steps, see the guide Doktorand Gehalt 2026: TV-L E 13, Stufen und Teilzeit (in German). A comparison of a position and a scholarship is in Promotionsstelle oder Stipendium (in German).
Health insurance: statutory or private?
As long as your regular gross pay stays below the compulsory insurance threshold, you are compulsorily insured in statutory health insurance (GKV). In 2026 the threshold was 6,450 euros per month or 77,400 euros per year. The general contribution rate is 14.6 percent and the average additional contribution is 2.9 percent (GKV-Spitzenverband, status 1 January 2026). Your own insurer’s additional contribution may differ. The guide Health Insurance for PhD Students in Germany explains the rules for doctoral students.
| Gross salary per month | Health insurance | What to note |
|---|---|---|
| below 6,450 euros (2026) | compulsory statutory insurance | Employer and employee share the contribution |
| above 6,450 euros (2026) | choice between GKV and PKV (private insurance) | PKV premiums depend on age and health, and returning to GKV is subject to conditions |
This guide does not recommend one system over the other. Both have advantages and disadvantages, for example for family cover, long-term premium development and the scope of benefits. If you have to decide, you can get personal advice here: How we work at Academycon.
Worked example for social security contributions
Assumption: 4,000 euros gross per month, no children and older than 23, average additional contribution 2.9 percent, calculation basis 2026.
- Health insurance: (14.6 + 2.9) percent divided by 2 gives 8.75 percent, that is 350.00 euros employee share.
- Long-term care insurance: 3.6 percent divided by 2 is 1.8 percent, that is 72.00 euros. The childless surcharge of 0.6 percentage points is paid by you alone, that is 24.00 euros. Together 96.00 euros.
- Pension insurance: 18.6 percent divided by 2 is 9.3 percent, that is 372.00 euros.
- Total social contributions: 818.00 euros. Unemployment insurance and income tax are not included here.
You can calculate income tax with the tax calculator of the German Federal Ministry of Finance (bmf-steuerrechner.de, in German).
Frequently asked questions
Do I have to enrol at the university for my doctorate?
That depends on the university and its doctoral regulations. Many universities require enrolment or registration as a doctoral candidate. Whether you count as a student affects your health insurance. Ask the doctoral office of your university before you sign the contract.
Can the company forbid my doctorate?
Whether your employer must agree depends on your contract and on the nature of your work. Agree working time, leave and supervision in writing so that later disputes about time do not arise.
What happens when the fixed term ends?
A fixed-term contract without objective reason ends when the term expires, unless something else was agreed. A new contract with an objective reason or a permanent contract is possible but not guaranteed. If you have no job afterwards, check unemployment benefit and health insurance, see Arbeitslos nach der Promotion (in German).
Is a doctorate from industry worth less?
The university awards the title under its own doctoral regulations. Whether the funding comes from a company or from a university post does not change the title. What counts are the rules of the university and the quality of your work.
When does a PhD in industry make sense?
It can suit you if you want practical experience, want to earn a salary early and have a concrete project in the company. It suits you less if you plan a long academic career, because other fixed-term routes apply there. An individual assessment is not a replacement for personal advice.
What to do now
- List start date, end date and the reason for the fixed term, and calculate the total term.
- Agree in writing how much working time goes to the dissertation and who supervises you.
- Ask your university about enrolment and the doctoral regulations.
- Calculate gross pay, social contributions and income tax before you accept.
- If your gross pay is above 6,450 euros per month, check whether GKV or PKV suits you before you sign.
Related reading
- Promotionsstelle oder Stipendium: Netto-Vergleich mit Rechenbeispiel
- Doktorand Gehalt 2026: TV-L E 13, Stufen und Teilzeit
- Promotion finanzieren: Stelle, Stipendium oder Eigenmittel im Vergleich (in German)
- PhD in Germany: routes, titles and requirements
- Arbeitslos nach der Promotion: ALG I und Krankenversicherung
Sources: § 14 TzBfG, fixed-term employment without objective reason (gesetze-im-internet.de, in German, checked October 2026); § 2 WissZeitVG (gesetze-im-internet.de, in German); GKV-Spitzenverband: fact sheet on contribution figures 2026 (in German, status 1 January 2026); § 241 SGB V, contribution rate (in German).
Last updated: October 2026. This guide is general information, not individual advice.
