Freiberufler, literally translated as “freelancer” in English, refers to self-employed professionals in Germany who offer specialized services based on their qualifications.
What is “Freiberufler”?
Freiberufler are independent professionals who provide services in their field of expertise, which typically requires a high level of education or specialized training. This category includes a variety of professions such as artists, engineers, lawyers, doctors, and consultants. In Germany, being a Freiberufler has implications for tax registration, visa applications, and membership in professional organizations[1].
More information about “Freiberufler”
Freiberufler are distinct from tradespeople (Gewerbetreibende) in that they do not need to register a trade (GewerbeGewerbe translates to "trade" or "business" in English. It refers to a self-employed commercial activity in Germany, encompassing a wide...) or pay trade tax (GewerbesteuerThe term "Gewerbesteuer" translates to "trade tax" in English and refers to a tax levied on the income of businesses...). They also have fewer bureaucratic obligations compared to tradespeople, such as not needing to join the Chamber of Industry and Commerce (IHKThe Industrie- und Handelskammer (IHK), translated as the Chamber of Commerce and Industry, is a pivotal institution in Germany that...) or to use double-entry bookkeeping unless they exceed certain revenue or profit thresholds[1].
Related to “Freiberufler”
Here are some additional terms that are related to Freiberufler:
- GewerbetreibenderA "Gewerbetreibender" is a term used in Germany to describe a self-employed individual whose business is registered as a trade....: A self-employed person who does not qualify as a Freiberufler and whose business is considered a trade (GewerbeGewerbe translates to "trade" or "business" in English. It refers to a self-employed commercial activity in Germany, encompassing a wide...)[1].
- GewerbeanmeldungGewerbeanmeldung translates to "trade registration" in English. It is a mandatory step for individuals in Germany who wish to start...: The process of registering a trade with the local trade office, which is required for Gewerbetreibende but not for Freiberufler[1].
- IHKThe Industrie- und Handelskammer (IHK), translated as the Chamber of Commerce and Industry, is a pivotal institution in Germany that...: The Chamber of Industry and Commerce, which Gewerbetreibende must join and pay membership fees to, unlike Freiberufler[1].
- KleinunternehmerA "Kleinunternehmer" translates to "small business owner" in English. This term refers to individuals or entities that qualify for a...: A small business owner who can be either a Freiberufler or a GewerbetreibenderA "Gewerbetreibender" is a term used in Germany to describe a self-employed individual whose business is registered as a trade.... and may qualify for VAT exemption under certain conditions[2].
Understanding the distinction between Freiberufler and other forms of self-employment is crucial for compliance with German regulations and for optimizing tax obligations.