On Saturday, October 30, 2021 I left for Germany from Boston. The following day I arrived in Zürich after a short layover in Iceland and hopped in a rental car for the Bodensee.
Note that you must open a separate PayPal account for each country in which you reside.
Monito is a website that compares various ways of transferring money between currencies in various countries. For example, Google (using Morningstar) states that 1 USD is equal to 0.86 EUR, while monito states that 300 USD can be transferred using WISE to 245.45 EUR or 0.85483 EUR/USD.
Oddly, the information listed by monito does not match WISE’s website. For $500 there is a $0.80 fee for a bank debit and then a $2.67 fee at a 0.873750 exchange rate. The ECB current exchange rate is currently 0.873515. The problem appears to be that monito didn’t subtract the fees before applying the exchange rate. So although MoneyGram is listed below WISE on monito, it would transfer about 1 EUR more for $500 since there is no fee for direct bank payments and an exchange rate of 0.8690. Unfortunately, MoneyGram rendered a blank page in Firefox even with Private Browsing enabled.
The actual $500 transfer using WISE resulted in 433.84 EUR in my German bank account, which is an exchange rate of 0.867679. Subtracting the above fees from the original balance before converting the currency ends up roughly matching the quoted exchange rate.
International wire transfers from my bank in the US are very expensive and slow:
Outgoing International wire transfers can take up to 15 calendar days to post to your recipient’s account and have a $45 fee ($20 International Outgoing fee + $25 International Wire Service fee).
The next two transfers I made to Germany were with currencyfair. However in the middle of 2024 my next transfer was 0.4% cheaper with WISE because WISE generally has higher exchange rates, but also higher fees, which means it is more cost effective for larger transfers.
See European Central Bank exchange referene rate (USD) for the current exchange rate.
Interestingly, charging 26.05 CHF on my Chase card at the Zürich airport resulted in a $28.62 transaction, which is only 16 cents or 0.56% more than the exchange rate returned by Google. Similarly, a charge from Hertz was 0.56% higher.
IKEA presents an interesting way to compare prices between Germany, Austria and Switzerland. A set of three knives costs 7.99 USD, 7 EUR (Austria), 9.99 EUR (Germany) and 9.95 CHF. The price in Austra is 10 cents cheaper than the United States at the current exchange rate. IKEA Abholstation Wolfurt is a 53 minute drive away.
An Amazon order included a 0.42 USD fee to guarantee an exchange rate. They also mention a 2.45% “exchange rate guarantee above European Central Bank reference rate”.
WISE offers a debit card with no transaction fee for less than 200 Euro twice month, but it will charge a 0.24-3.69% conversion fee and doesn’t not cover the cost of any ATM fees.
The housing market in Germany is incredibly tight in cities and only appears to be getting worse every year.1 In particular the rental market is very small with high demand and heavily regulated.
If I live in Konstanz I would need to commute using the Konstanz-Meersburg ferry. It runs 4 times every hour from 9AM to 7PM. Certain times before 9AM are only available during the work week. A single adult ticket is 3,3 EUR or 11 EUR with a bicycle. The annual bicycle card costs 336 EUR. The trip takes about 15 minutes. The ride from the ferry to the office is 3.8 miles and should take about 10-15 minutes.
There are two exclusions for foreign income that may be used exclusively; Foreign Earned Income Exclusion and Foreign Tax Credit. The FEIE allows me to exclude foreign earnings from income up to an amount that is adjusted annually for inflation (e.g. $108,700 in 2021). Foreign income tax may reduce U.S. tax liability, typically in the form of a tax credit. I will be granted a automatic 2-month extension (i.e. June 15) to file my return and pay any amount due.
Note that the credit is only towards foreign income so it may not be used towards U.S. income. To use the credit one must earn foreign income that is taxed abroad at a rate lower than in the United States.
The IRS does not maintain an official exchange rate. That rate may be the yearly average exchange rate or the exchange rate on specific days of individual transactions.
The American capital gains tax rate is determined by total taxable income. There is no capital gains tax below $40,400 and then 15% until $445,850. In Germany capital gains from financial investments are subject to a flat tax of 25% plus a solidarity surcharge. The Foreign Tax Credit means that the difference will be credited by the United States.
Income earned abroad while residing in Germany must be reported and taxed. Two methods exist to prevent double taxation. Foreign tax is credited when calculating German taxes. Alternatively, the income is tax-exempt, but it is subject to Progressionsvorbehalt.
Income earned as an independent consultant in the United States is subject to normal income tax (e.g. 20-25%). Then there is a 15.3% tax on the remaining amount, which goes to Social Security and Medicare. That results in roughly 36% tax on net income.
While residing in Germany that income plus any income earned in Germany needs to be reported to Germany tax authorities.
There’s an automatic exemption from the ACA requirements as part of the Foreign Earned Income Exclusion.
The Robert Koch Institut has developed an app that displays a QR code to confirm vaccination. They responded to my inquiry with the following:
Um in Deutschland ein digitales COVID-Zertifikat der EU zu erhalten, müssen Sie einen Impfanspruch laut Impfverordnung (Verordnung zum Anspruch auf Schutzimpfung gegen das Coronavirus SARS-CoV-2 „Coronavirus-Impfverordnung – CoronaImpfV“) haben.
Dazu muss einer dieser Anknüpfungspunkte mit Deutschland vorhanden sein, z.B.: - Arbeitsvertrag - Mietvertrag - Krankenversicherung - Wohnsitz
Zwischen EU-Bürgern und Nicht-EU-Bürgern gibt es keinen Unterschied.
Sie müssen mit einem in der EU zugelassenen COVID-19-Impfstoff geimpft worden sein. Eine aktuelle Liste von in der EU zugelassenen COVID-19-Impfstoffen wie auch Informationen zur notwendigen Anzahl an Impfdosen sind auf den Internetseiten des Paul-Ehrlich-Instituts zu finden: https://www.pei.de/impfstoffe/covid-19.
Laut Verordung SchAusnahmV §2 Absatz 3 ist ein “Impfnachweis ein Nachweis hinsichtlich des Vorliegens einer vollständigen Schutzimpfung gegen das Coronavirus SARS-CoV-2 in deutscher, englischer, französischer, italienischer oder spanischer Sprache in verkörperter oder digitaler Form…”.
Das Zertifikat können Sie sich in teilnehmenden Apotheken ausstellen lassen.
Unfortunately, by the time I went to a local Apotheke nearly a month later the rules had changed. Apparently, a spike in fraud meant that Apotheke are no longer issuing certificates for vaccinations that were not administered on site. I could get a certificate for a booster, but to receive a booster I would need a Gesundheitskarte from a Krankenkasse.
See Aktuelle Regelungen for a definition of 2G and 3G
hkk Krankenkasse (362,57 EUR) is the cheapest while BARMER (389,42 EUR) has the best service. Techniker Krankenkasse (382,16 EUR) is strong all around. BARMER and hkk have a Auslands-Notrufservice and a Jährlicher Transparenzbericht. Perhaps critically, BARMER has Antrag und Beratung auch auf Englisch. Techniker supports Haut-Check online.
Note that as an independent contractor (i.e. Selbstständiger o. Freiberufler) you will need to pay the aforementioned cost as well as the additional half normally paid my your employer. The rate is paid monthly and calculated by your annual income. The top tier costs roughly 900 EUR per month.
A two day van rental from Europcar in Überlingen starts at 227 Euro. A wagon or sedan starts at 168 Euro. The Sixt website wouldn’t load any locations. The cheapest rental listed on check24.de is a Fiat 500 for 124 Euro.
There are speeding cameras everywhere. Beware! The person or company who has registered the vehicle will be contacted by mail. Typically it is possible to respond online using a URL, username and PIN provided by the letter. Note the small “Weiter” link on the main page that contains a PDF copy of the letter.
Google Maps does not track speed cameras, but Waze does (see wazeopedia: Blitzer einpflegen). Additionally, Waze recognizes Austria and Swiss Vignette.
| Land | Autobahn | Land-/Schnellstraße | Ortsgebiet |
|---|---|---|---|
| Deutschland | ∞ | 100/∞ | 50 |
| Österreich | 130 | 100 | 50 |
| Schweiz | 120 | 80/100 | 50 |
| Italien | 110/130 | 90/110/130 | 50 |
See Wikipedia: Generelle Geschwindigkeitsbegrenzung
Right of way is often determined at smaller intersections using the “right before left” rule.2
The Italian Telepass transceiver provides a service for several other European countries, but purchasing it outside of Italy can be difficult. The maut1.de Mautbox is based on Telepass, but can be purchased in Germany. ADAC has also partnered with maut1 to provide the Mautbox to their customers.
The dimensions of bedding are naturally different. I purchased a 160x200 cm mattress from Ikea and confusingly was recommended a 155x220 cm wide duvet in the store. The fact that people often use two duvets on larger mattresses contributed to that confusion.
Rather than selecting a duvet size based on the mattress size, it is based on the size of the person and whether two people will share a duvet.3
I think I’ll buy a 240x220 cm for my current mattress and use the 155x220 cm for guests.
Entlüftung is the cultural practice of opening the windows, typically daily in the morning, for 5-10 minutes to allow some air to circulate.
My first apartment in Germany was a Dachgeschosswohnung with a pitched wooden roof. In the winter I dealt with very low humidity in the apartment and didn’t need to entlüft the apartment, certainly not daily. In fact, I purchased a humidifier for the apartment.
In the USA centralized HVAC systems are much more common. They move air around so it is not stagnant. The climate is much more mild in Germany, without the extreme temperatures or large swings as in parts of the USA. Also, the largest cities are much smaller and less dense. They likely do not suffer from the same urban heat island (UHI) effect and levels air pollution. Also, Germany does not suffer from geographical factors like in northern Italy, where stagnant air contributes to local air pollution.
My second apartment is a ground floor apartment with thick concrete walls and ceilings. It sits directly above a large drying room in the basement, which generally always has a window open and a large exhaust pipe for a dryer passes through a window where the glass was cut open to allow the pipe through, leaving large gaps. The most problematic point in the apartment is a corner with two exterior walls and above the basement drying room where the dryer exhaust pipe exits.
Humidity is typically measured in relative terms corresponding to temperature, both in weather reports and consumer sensors. For example, an room that is 20°C and with 70% humidity would have roughly 12g/m³ of moisture in the air. At 15°C with the same absolute humidity that would correspond to roughly >90% relative humidity. Conversely, at 10°C the air can only hold up to 9.4g/m³ at 100% humidity.
Humidity only typically becomes problematic when the water vapor leaves the air and condenses on surfaces. The water can over time cause damage or lead to mold. Whether condensation forms depends on the dew point.
The dew point in a room that is 20°C and with 70% humidity would be roughly 14°C. So if an object (e.g. window) is less than 14°C then water will condense on that object. If a room is kept at a higher temperature it does not impact the dew point as the relative humidity will decrease.
In theory opening the window allows some warm air to escape bringing some of the water vapor. At the same time the air in the room cools, but the interior walls and furniture are slower to cool. As the interior temperature reaches an equilibrium with outside the extra water vapor that can no longer be held in the air must condense somewhere, which hopefully happens outside.
Similarly, it is probably wise to entlüft the apartment before leaving and turning down the heat for a longer period of time.
So this cultural practice is built on solving a common problem, but it seems few people understand the science or use modern tools or devices to address it, preferring to use daily manual actions and “common sense”.
Shipping into Germany is subject to customs taxes. When sending from the foreign country, a customs declaration form (i.e. Zollinhaltserklärung) must be filled out and attached to the package.
General questions about German customs can be answered by the following: