The decision to move from Germany to Poland is challenging in organisational, legal and emotional terms. While both countries are member states of the European Union, there are a number of differences in regulations regarding registration, vehicle registration or insurance. In addition, the transportation of property and inheritance and gift tax regulations have to be taken into account. In this blog post, we will take a closer look at the most important aspects of this change, as well as give you an idea of how the cost of living and adaptation compare in the Polish reality.
1. Legal differences on the issue of registration, vehicle registration and insurance
Report
- Checking out in Germany
Once you have decided to leave Germany, you must register your departure at the local registration office (Einwohnermeldeamt/Bürgeramt). The deadline for reporting the de-registration varies from Land to Land, but it usually has to be done just before you leave your current place of residence or within the legally defined days after you leave.
- Registration in Poland
In Poland, every person is obliged to register with the municipality or town where he or she is staying (for more than 3 months). It is necessary to fill in an appropriate form and present an identity document. The registration can be permanent or temporary (depending on your plans as to the length of your stay).
Vehicle registration
- Deregistration of a car in Germany
If you have a car that is registered in Germany and you want to take it to Poland permanently, you have to report the deregistration at the relevant traffic office (Kfz-Zulassungsstelle). Most often, you are required to return the number plates and the vehicle document (Zulassungsbescheinigung Teil I and II).
- Registration of a vehicle in Poland
Once you have brought the car to Poland, you have a limited time (up to 30 days) to register it with the transport department responsible for your place of residence. The documents necessary for registration include the proof of ownership of the vehicle, the existing registration certificate (or equivalents from Germany), confirmation of payment of recycling fees (this obligation has been partially abolished for vehicles imported from the EU, but it is worth making sure of the current regulations), as well as a certificate of a positive technical inspection (inspection in Poland).
- Excise duty: When importing a passenger car (with an engine up to 2.0 l – 3.1%, above 2.0 l – 18.6% of the value of the vehicle), excise duty must be paid at the Tax Office.
- Insurance: Before applying for registration, it is necessary to take out a third-party liability policy with a Polish insurance company.
Insurance
- Health insurance
In Germany, there is compulsory health insurance (Gesetzliche Krankenversicherung), while in Poland there is a universal health insurance system within the NFZ (National Health Fund). Once you have registered in Poland and started a job or business, you should make sure that your health insurance contributions are paid.
- Social security and pension insurance
Being subject to social insurance depends on the place of work and the payment of contributions. The transfer of contributions from Germany to the Polish ZUS or vice versa is governed by EU rules on the coordination of social security systems. In practice, this means that contribution periods in Germany can be credited towards a Polish pension and vice versa, but this often requires additional paperwork.
2. How to transport your belongings and what is the inheritance/gift tax issue
Carriage of property
As citizens of the European Union, we can freely transport our personal belongings within its borders without going through standard customs procedures (with the exception of certain categories of goods, such as works of art, weapons or restricted items).
When organising a move from Germany to Poland, you can:
- Hire a professional removal company: This is a convenient solution that saves time and stress. It is worth comparing quotes from several companies, checking that they provide insurance for the transport.
- Organise transport yourself: hire a bus or truck. This is usually a cheaper option, but more time-consuming. It is worth remembering to plan the route carefully, to pack the possessions safely (proper packaging, bubble wrap, labelled cartons).
- Cargo consolidation: There are courier or shipping companies that offer the possibility of attaching a small load to a larger shipment – this can be worthwhile if you do not have many things to transport.
Inheritance and gift tax
- EU regulations versus the Polish system
As both Germany and Poland belong to the EU, there are no typical customs borders regarding personal property in the event of a move. Nevertheless, inheritance or donation cases are still subject to national law.
- Tax in Poland
Polish legislation divides gift recipients into tax groups according to the degree of relationship. For example, the immediate family (zero group: spouse, children, grandchildren, parents) may be completely exempt from gift or inheritance tax, provided that this is reported in due time to the Tax Office (form SD-Z2). In other cases, rates apply depending on the value of the donation/inheritance.
- Tax in Germany
If the inheritance/gift relates to property located in Germany or if the testator/grantor had tax resident status in Germany, it is possible that German rules will also apply. It is advisable to consult a tax advisor to determine whether and to what extent you need to settle in Germany and to what extent in Poland.
3. Cost of living comparison and adaptation to Polish realities
Cost of living in Poland vs. Germany
- Housing and maintenance
In Poland, real estate and flat rental prices are generally lower than in Germany, although this depends on the location (in larger cities such as Warsaw, Krakow or Wroclaw, they can be comparable or slightly lower than in smaller German cities). The costs of utilities (electricity, gas, water) are sometimes slightly lower, but recent years have seen energy price increases across Europe.
- Food and daily shopping
Generally speaking, the costs of food and everyday essentials are lower in Poland, but these differences are steadily decreasing. However, the differences in earnings between Poland and Germany still remain significant, so it is worth taking this into account in your budget planning.
- Services
Hairdressers, restaurants, cafés or car repair shops are generally cheaper in Poland than in Germany. However, in large agglomerations (Warsaw, Tricity) services may already be comparable in price to the West.
Adaptation and cultural differences
- Language
For people with a German-speaking background, the language barrier in Poland can be significant, although more and more people speak English or German in larger cities. For Poles returning from Germany, who have already mastered the Polish language, the barrier is virtually non-existent – except for those who have spent many years abroad and require some adaptation.
- Mentality and approach to work
Punctuality and accuracy are important in German work culture. The Polish mentality is somewhat more flexible, which can sometimes be an advantage in crisis situations, but can also lead to misunderstandings.
- Health service
In Germany, the medical care system is known for its high standard. In Poland, there is also a universal health insurance system (NFZ), but the quality of services can vary and there are often longer waits for specialists. Many people opt for private insurance or private medical visits.
Integration in a new environment
- Formalities in offices
The Polish bureaucratic system has its specific procedures, but digitalisation and gradual simplification have improved the situation. It is a good idea to carry documents confirming your residency status in Poland or your PESEL number with you in order to deal with official matters more easily.
- Looking for work
There is a shortage of workers in many sectors on the Polish labour market, which creates favourable conditions for people with experience gained abroad.
- Social relations
Poles are hospitable and helpful, especially towards compatriots returning from emigration. However, it is worth remembering that friendly networking takes time and commitment to the local community.
International relocation
Moving from Germany to Poland, although no longer requiring crossing a physical border in the customs sense, still involves a number of formalities and challenges. Key issues include:
- Vehicle registration and registration – preparation of documents, de-registration in Germany, registration in Poland, payment of excise duty and purchase of insurance.
- Social and health insurance – payment of contributions and notification of change of residence to the relevant institutions (Germany vs. Poland).
- Transporting possessions – deciding whether to organise transport yourself or use a removal company.
- Inheritance/gift tax – finding out where and when to pay the fees due, especially if the testator/giver has links to Germany.
- Cost of living and adaptation – generally lower cost of living in Poland while earning higher wages in Germany. It is necessary to evaluate the budget, plan future expenses and gradually get used to the cultural differences.
Good planning of the move, gathering documents in advance and familiarising oneself with the Polish reality (e.g. labour market, tax and insurance system) will allow for a smooth adaptation. Ultimately, a change of residence can prove to be not only a challenge, but also an opportunity for a fresh start in your home country – with the benefits of both a lower cost of living and a booming economy. Good luck with your move and finding your way in the new-old reality!
