--- title: How could a secondment payroll look like (Example India) description: Employees on German contracts are obliged to participate in the German social security system, while ICT employees are exempted but can choose it as an option. Once in the system, both employee types --- [Skip to content](https://knowledge.dwyer-legal.com/how-could-a-secondment-payroll-look-like-example-india#main-content) English Show submenu for translations [Contact us](https://knowledge.dwyer-legal.com/kb-tickets/new?hsLang=en) ![DwyerLegal\_logo.png\]](https://knowledge.dwyer-legal.com/hs-fs/hubfs/DwyerLegal_logo.png?height=42&name=DwyerLegal_logo.png) - [Default HubSpot Blog](https://dwyer-legal-4951429.hs-sites.com/blog) Open main navigation Close main navigation - [Default HubSpot Blog](https://dwyer-legal-4951429.hs-sites.com/blog) - English Show submenu for translations - [Contact us](https://knowledge.dwyer-legal.com/kb-tickets/new) - Contact us Contact us Dwyer Legal Citizenship Knowledge Base - There are no suggestions because the search field is empty. 1. [Dwyer Legal Knowledge Base](https://knowledge.dwyer-legal.com/?hsLang=en) 2. [Payroll, Taxes and Contributions](https://knowledge.dwyer-legal.com/payroll-taxes-and-contributions?hsLang=en) # How could a secondment payroll look like (Example India) Employees on German contracts are obliged to participate in the German social security system, while ICT employees are exempted but can choose it as an option. Once in the system, both employee types can apply for an exception from the obligation to bay pension fund contributions, which include unemployment insurance make out ca. 20 % of the gross salary. So instead of paying German pension fund and unemployment contributions, the CoC could be used to pay Indian pension fund contributions instead during the time in Germany. As a consequence, the German payroll would only be linked to health insurance and long-term care insurance, which however provide full heal insurance coverage to the employee and his family members. From a practical perspective, a typical (and good) set up would be to stop the Indian salary in a way, that it would be put on hold and then pay out the full salary in Germany, option for German contributions social contributions. However, a CoC application will be filed, which will the help to bring the contributions down to health and long-term case contribution only. The pension fund contributions will be paid in India, where the amounts are significantly lower. This would then ensure the tax payments in Germany and at the same time provide the employee with full health insurance coverage.   - [German Citizenship](https://knowledge.dwyer-legal.com/german-citizenship?hsLang=en#main-content) - [Dwyer Legal Citizenship Services for German residents](https://knowledge.dwyer-legal.com/german-citizenship?hsLang=en#dwyer-legal-citizenship-services-for-german-residents) - [Einbürgerungstest and Leben in Deutschland](https://knowledge.dwyer-legal.com/german-citizenship?hsLang=en#einb%C3%BCrgerungstest-and-leben-in-deutschland) - [The new German citizenship law](https://knowledge.dwyer-legal.com/german-citizenship?hsLang=en#the-new-german-citizenship-law) - [Citizenship aquisition by birth](https://knowledge.dwyer-legal.com/german-citizenship?hsLang=en#citizenship-aquisition-by-birth) - [Citizenship applications by family relationships](https://knowledge.dwyer-legal.com/german-citizenship?hsLang=en#citizenship-applications-by-family-relationships) - [Citizenship based on Nazi regime persecution](https://knowledge.dwyer-legal.com/german-citizenship?hsLang=en#citizenship-based-on-nazi-regime-persecution) - [Permanent Residence Permits](https://knowledge.dwyer-legal.com/permanent-residence-permits?hsLang=en) - [Visa and Work Permits](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#main-content) - [Blue Card Work permits](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#blue-card-work-permits) - [Company Specialist Work Permits](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#company-specialist-work-permits) - [ICT: Secondment work permits / Deputed employees](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#ict-secondment-work-permits-deputed-employees) - [Self-Employment / Freelancer Permits](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#self-employment-freelancer-permits) - [Dependency Visas](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#dependency-visas) - [Entry visas (Schengen and National Visas)](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#entry-visas-schengen-and-national-visas) - [Job Seeker and Opprtunity visas](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#job-seeker-and-opprtunity-visas) - [Visa emergency situations](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#visa-emergency-situations) - [Dwyer Legal visa processing](https://knowledge.dwyer-legal.com/visa-and-work-permits?hsLang=en#dwyer-legal-visa-processing) - [Employee Posting (General Information)](https://knowledge.dwyer-legal.com/employee-posting-general-information?hsLang=en#main-content) - [Posting of Employees within the EU (van der Elst)](https://knowledge.dwyer-legal.com/employee-posting-general-information?hsLang=en#posting-of-employees-within-the-eu-van-der-elst) - [German Labour Law](https://knowledge.dwyer-legal.com/german-labour-law?hsLang=en) - [Temporary Employment Law (AUG)](https://knowledge.dwyer-legal.com/temporary-employment-law-aug?hsLang=en) - [Payroll, Taxes and Contributions](https://knowledge.dwyer-legal.com/payroll-taxes-and-contributions?hsLang=en#main-content) - [Income taxes and contributions](https://knowledge.dwyer-legal.com/payroll-taxes-and-contributions?hsLang=en#income-taxes-and-contributions) - [Payroll processing](https://knowledge.dwyer-legal.com/payroll-taxes-and-contributions?hsLang=en#payroll-processing) - [Company Foundation](https://knowledge.dwyer-legal.com/company-foundation?hsLang=en#main-content) - [Company formation and processing](https://knowledge.dwyer-legal.com/company-foundation?hsLang=en#company-formation-and-processing) - [Shareholder Work Permit Processing](https://knowledge.dwyer-legal.com/company-foundation?hsLang=en#shareholder-work-permit-processing) - [Default HubSpot Blog](https://dwyer-legal-4951429.hs-sites.com/blog) [![Chill listening crop-3](https://knowledge.dwyer-legal.com/hs-fs/hubfs/DwyerLegal_logo-1.png?width=64&height=24&name=DwyerLegal_logo-1.png "Chill listening crop-3")](https://dwyer-legal.com) Dwyer Legal © Copyright © 2026, Dwyer Legal Law Firm