All answers on TaxGuided are community-contributed and for educational purposes only. This is not professional tax, legal, or accounting advice. Always consult a qualified professional for your specific situation.

family-taxAnswered

Why do some married German employees use tax class IV with factor instead of the old III/V habit?

NK
Nils Kramer
May 27, 2026 3,124 views 1 answer
GermanyFaktorverfahrentax classesspouses

My spouse and I both earn salaries in Germany. Please explain what the Faktorverfahren is trying to do, why withholding may look fairer during the year, and why the tax return can still land differently.

Have a similar question?

ForeignLLCTax members get expert answers with IRS citations. One CPA consultation costs $200+. Full access is $9.99/month.

Become a Member — $9.99/mo

Disclaimer: All content on ForeignLLCTax.com is created by a tax professional and is provided for general educational and informational purposes only. It does not constitute tax, legal, or accounting advice, and should not be relied upon as such. Every tax situation is different — for advice specific to your circumstances, please consult a licensed CPA, Enrolled Agent, or tax attorney. By using this website, purchasing a subscription, or accessing any tools or services, you acknowledge that no client-professional relationship is established between you and ForeignLLCTax.com or its operators. This website is not affiliated with the IRS.