Freelancers in Germany qualify for German citizenship under the same rules as ordinary foreign workers with job contracts, but applicants say they face additional costs and hurdles.
Kathryn, an American citizen who works as a freelancer, moved to Germany more than 15 years ago.
Since then, she’s faced years of bureaucratic challenges: paying for tax audits and lawyers, receiving incomplete or unhelpful information from immigration authorities and navigating a system that feels stacked against her.
Staying in Germany as a freelancer, she said, has never been easy – or cheap.
Now, she’s beginning her application for German citizenship, a process that’s proving to be just as burdensome.
Marcelo, a freelance artist from Brazil, has faced similar challenges. After living in Germany for seven years, Marcelo began the process of applying for German citizenship in October last year and has been going back and forth with the immigration authorities ever since.
“I would say that there is quite a discriminatory practice between freelancers and people who have a regular nine-to-five job,” Marcelo said.
Both Kathryn and Marcelo have asked to be identified only by their first names because they are still in the process of applying for citizenship.
Working as a freelancer does not disqualify you from becoming a German citizen, but as Kathryn and Marcelo have both found, it can make the process slower, more expensive and more confusing.
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Freiberufler visa makes freelance work possible for expats
The Freiberufler visa allows non-EU citizens to be self-employed or work as freelancers in Germany for a period of three years, before renewal.
It’s an attractive option for many foreign residents, as the visa offers a way to work in Germany without a full-time employment contract. To receive this visa, applicants must show letters of intent from clients and evidence they can support themselves financially.
READ ALSO: The compete guide to getting a freelance visa in Germany
As a reminder, to become a German citizen all applicants are generally required to have been living in Germany for at least five years, have a long-term residence permit or permanent right of residence, pass a citizenship test and speak German at a B1 level.
But for foreign freelancers who hope to one day become naturalised, it’s important to understand how working as a freelancer can complicate the process of attaining citizenship.
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Additional paperwork, additional expenses
Because most freelancers have several employers, rather than just one, documenting taxes and income can get complicated.
Freelancers applying for citizenship in Berlin must submit a Prüfungsbericht, or an audit report conducted by a tax professional, according to the ServicePortal Berlin website. Freelancers must also submit their last Steuerbescheid, or tax assessment, and a tax clearance certificate, or Steuerunbedenklichkeitsbescheinigung.
In contrast employees with salaried jobs need only to submit their employment contract, their last six months of salary statements and a statement from their employer concerning the duration of the employment, the ServicePortal website says.
German immigration authorities can be quite meticulous when reviewing freelancers’ financial documents, and even minor discrepancies between invoices and bank statements can raise red flags.
In the more than 15 years Kathryn has spent as a freelancer, she said she’s run into all kinds of issues reporting her taxes and income.
As an example she once received a €23 refund on a Deutsche Bahn ticket. When she later submitted a bank statement that included that refund, the clerk reviewing her documents accused her of receiving compensation for unreported freelance work with Deutsche Bahn.
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Citizenship comes at a cost
Another challenge freelancers face when applying for citizenship is the heavy cost burden. Just getting a Prüfungsbericht can sometimes cost upwards of €1,000.
Over the course of the application process, Marcelo has already paid around €2,000 for lawyers and tax professionals, as well as for official translations of documents.
“I had to ask for help from my parents, because I couldn’t do it myself,” Marcelo said. “So I do feel like it’s something that is quite prohibitive.”
Kathryn estimated she’d spent between €5,000 and €10,000 annually on freelance-related expenses since moving to Germany. That includes lawyers, tax professionals, document translations and insurance, not to mention all the hours of income she’s lost.
“Honestly, it’s not felt worth it. I mean, I kept fighting for it. I kept staying here,” she said. “But I would say altogether, it has not been worth it.”
Freelancers say German bureaucracy isn’t made for them
A lack of transparency and clarity from immigration authorities is another complaint foreign freelancers have voiced. Kathryn said she has never been told exactly how much money she needs to make in order to prove she can support herself.
Even though options like the Freiberufler visa make freelancing a viable path for international residents, some freelancers still say the system doesn’t feel like it’s set up for them.
“German society is not really geared towards being a freelancer,” Marcelo said. “You are supposed to be here really in a like nine-to-five job contract…that’s what they want.”
READ ALSO: Five hard truths about starting out as a freelancer in Germany
Kathryn said she and her husband, a German national who also freelances, have considered leaving Germany altogether because of these bureaucratic challenges.
Kathryn has looked into relocating to countries including the Netherlands, New Zealand and Senegal – all of which were friendlier to freelancers than Germany is, she said.
“Why is it so hard here?” Kathryn said. “I just find there’s not a lot of clarity here.”
Have you had similar experiences applying for German citizenship as a freelancer. We want to hear from you. Share your story in the comments section or email us at news@thelocal.de
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