If you want to work as a bookkeeper in Germany, there are several subjects you should master. Ger...If you want to work as a bookkeeper in Germany, there are several subjects you should master. Ger...
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If you want to work as a bookkeeper in Germany, there are several subjects you should master. German bookkeeping is different from US or UK bookkeeping because it follows the German Commercial Code (HGB) and has strict tax rules.
1. German Accounting Standards (Most Important)
HGB (Handelsgesetzbuch) – German Commercial Code
Basic accounting principles (GoB – Grundsätze ordnungsmäßiger Buchführung)
Double-entry bookkeeping (Doppelte Buchführung)
2. German Tax System
You must understand:
VAT (Umsatzsteuer - USt) (19% standard, 7% reduced)
Input VAT (Vorsteuer)
Output VAT
VAT returns (Umsatzsteuervoranmeldung)
Corporate Income Tax (Körperschaftsteuer)
Trade Tax (Gewerbesteuer)
Income Tax (Einkommensteuer)
3. Chart of Accounts
Germany mainly uses:
SKR03
SKR04
These are standardized chart of accounts used by most German businesses.
4. Financial Statements
Learn how to prepare:
Balance Sheet (Bilanz)
Profit & Loss Statement (Gewinn- und Verlustrechnung)
Cash Flow Statement
Trial Balance
5. Payroll (Lohnbuchhaltung)
Know about:
Employee salaries
Social security contributions
Pension
Health insurance
Payroll tax (Lohnsteuer)
6. Accounts Receivable & Accounts Payable
Customer invoices
Supplier invoices
Payment reminders (Mahnwesen)
Bank reconciliation
7. Fixed Assets
Asset purchases
Depreciation (Abschreibung)
Asset register
8. Month-End Closing
Accruals
Prepayments
Depreciation
Reconciliations
Closing entries
9. Software Used in Germany
Learn these tools:
DATEV (Most important)
Lexware
sevdesk
Addison
Sage
SAP FI/CO
Microsoft Excel
10. German Language
Even many international companies expect at least:
A2–B1 German for bookkeeping
B2 German is preferred for client communication.
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