Despite the recent tax alleviations and child benefit increases agreed upon by the former coalition partners SPD, Greens, and FDP, many German households may find their net income declining in 2025. Key factors contributing to this situation include rising health and long-term care insurance contributions, higher contribution assessment limits for social insurance, and an increase in the CO2 tax affecting buildings and transport. Only couples with children could see slight relief, while singles and single parents may face increased financial burdens.