Germany Public Holidays 2026: Payroll, Paid Leave & State Rules

Public holidays in Germany can look simple on the surface, but they affect pay, time tracking, and rest rules.

Germany has nationwide holidays, state-specific holidays, and a few holidays that apply only in certain municipalities or predominantly Catholic areas. That is why two employees working for the same company in Germany can have different paid holiday entitlements. 

Germany public holidays calendar 2026 

Germany public holidays at a glance for HR and finance

• Germany has nationwide holidays plus state-specific holidays.
• The applicable rules usually follow the employee’s regular place of work in Germany.
• Public holidays are typically paid when the employee would otherwise have worked.
• Holiday work is restricted, and extra pay often comes from contracts, work agreements, or collective agreements.

Nationwide public holidays in Germany 

Nationwide means the holiday is recognized in all 16 federal states in Germany. In 2026, that includes nine holidays shared across the country, including New Year’s Day, Good Friday, Labour Day, and Christmas Day. Still, not every German public holiday is federal by law. In fact, German Unity Day is the only public holiday set by federal law, while most other holiday rules are shaped at the state level.

That  is the reason a company with employees in Munich, Berlin, and Leipzig can end up running different holiday calendars under one German payroll setup.

State-specific public holidays 

State-specific holidays make payroll more complex. Germany has several holidays that only apply in certain states, and a few that apply only in certain municipalities or predominantly Catholic areas. Examples include Epiphany, International Women’s Day, Corpus Christi, Assumption Day, Reformation Day, All Saints’ Day, Repentance Day, and World Children’s Day.

That means the same employer can have one employee off with pay in Bavaria while another works a normal day in Hamburg. If you are managing a distributed team, mapping every employee to the correct state holiday calendar is a must.

Paid time for holidays 

If working time is lost because of a statutory public holiday, employees generally receive pay for the hours they would have worked. That is the practical rule HR and payroll teams need to remember.

There is an important limit, though. If the holiday falls on a day the employee would not have worked anyway, there is usually no extra entitlement. That is especially relevant for part-time schedules, rotating shifts, and weekend-heavy roles. Not every role gets time off, though. Certain sectors can still operate, including hospitals, emergency services, hospitality, transport, and other activities that fall within statutory exceptions.

So the right answer is rarely “nobody works.” It is “work is generally restricted unless an exception applies, and if it does, you need the right records, timing, and rest treatment.”

What happens if an employee works on a public holiday in Germany

If an employee works on a recognized public holiday where work is legally allowed, you should track those hours separately, record why the work was permitted, and make sure any required substitute rest day is granted on time. Under the Working Time Act, employees who work on a public holiday generally need a substitute rest day within eight weeks.

Your employment agreement, works agreement, or collective agreement may add more on top of that. That is often where the payment rules live.

Holiday premium pay and bonuses

German law is strict about when employees can work on public holidays. It is not equally broad about forcing a universal premium rate every time someone does. In many cases, premium pay is optional unless your employment contract, works agreement, or collective bargaining agreement says otherwise.

That is why payroll teams should separate two questions. First, was the employee allowed to work, and did you meet the substitute rest requirement? Second, did a contract or collective arrangement create extra pay obligations? If you are comparing Germany with other markets, Pebl’s article on holiday bonuses in seven countries is a useful reminder that bonus practices vary a lot more than employers expect.

Day off in lieu 

This is one of the easiest places to make a process mistake.

Working a Sunday and working a public holiday are similar, but not identical. The replacement rest windows differ, and your systems should reflect that. If a public holiday falls on a weekday and the employee works, you may need a substitute rest day within the statutory window. If the holiday lands during scheduled leave, that holiday should not normally reduce the employee’s annual leave balance the same way an ordinary workday would.

Payroll and compliance checklist for public holidays

A clean setup leads to clean results.

• Map each employee to the correct federal state holiday calendar.
• Confirm eligibility rules for part-time staff, rotating schedules, and variable work patterns.
• Configure payroll and time tracking to recognize the right holidays for the right employees.
• Track holiday work hours separately from ordinary weekday and Sunday hours.
• Apply substitute rest days within the required timeframe.
• Keep audit-ready records for scheduling, time worked, pay treatment, and time off in lieu.

Payroll mistakes to avoid

Avoid these common pitfalls:

• Using the wrong federal state calendar for remote employees.
• Paying holiday premium automatically when it is not required by law or contract.
• Missing substitute rest day deadlines.
• Treating local observances as statutory public holidays.

How an Employer of Record (EOR) can help

An employer of record is a third party that legally employs your team member in Germany on your behalf. This allows you to hire without establishing a local entity, avoiding the hidden costs of entity establishment. 

The EOR handles salary offers, employment contracts, payroll, tax withholding, statutory benefits, and all ongoing compliance. You manage the day-to-day work normally while the EOR takes care of just about everything else.

For employers testing the market or those who need to scale quickly, an EOR is usually the right choice. You get to reduce risk, move faster, and know all local laws and regulations will be followed.

Pebl handles holidays in Germany

If you’ve made it this far, you’ve got your sights set on Germany. Maybe you’ve even found the perfect talent. There’s a lot that needs to be taken care of before you can start hiring—researching taxes, finding experts in local labor law, finding a payroll processor, and more. It takes a lot of time and a lot of money. Wouldn’t it be great if there were an easier way?

With Pebl, there is.

Our EOR platform allows you to hire, pay, and manage employees in 185+ countries around the world without setting up your own local entity. That means your new talent starts in days, not months. We handle it all: onboarding, benefits, salary benchmarking, payroll, and compliance with all local regulations. Every public holiday, overtime or double time pay the law requires, we make sure it happens. All you have to do is stay focused on leading your team.

When you’re ready to do things the easy way, let us know.

This information does not, and is not intended to, constitute legal or tax advice and is for general informational purposes only. The intent of this document is solely to provide general and preliminary information for private use. Do not rely on it as an alternative to legal, financial, taxation, or accountancy advice from an appropriately qualified professional. The content in this guide is provided “as is,” and no representations are made that the content is error-free. 

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