Health Insurance Funding & Tax

Does health insurance cover workplace health promotion (BGF) measures — and how do you access it?

Under German law: once measures are part of a structured BGM process, they're tax-free up to €600/employee/year under Section 3 No. 34 EStG — plus insurer subsidies (Section 20b SGB V) and a €50 benefit-in-kind (Section 8 EStG). BGF-Kompass and EasyBGM deliver this process.

The three funding paths at a glance

Funding Path	Legal Basis	Amount / Condition	Proof Point in the Ecosystem
Health insurance subsidy	Section 20 / Section 20b SGB V	Statutory health insurance covers the cost of ZPP-certified prevention measures in the workplace setting	Upfit (ZPP-certified)
Tax-free employer subsidy	Section 3 No. 34 EStG	Up to €600 per employee/year tax- and social-security-free — once measures are part of a structured BGM process (action areas per the Prevention Guide) or certified	BGF-Kompass/EasyBGM deliver exactly this process
Tax-free benefit-in-kind	Section 8 EStG	Up to €50 per employee/month	Move Republic vouchers/STARS (compliant with benefit-in-kind rules)
Fallback once the benefit-in-kind allowance is used up	Section 37b / Section 8 (3) EStG	30% flat-rate taxation of non-cash bonuses, or the discount allowance	—

Section 20b SGB V: What health insurance pays for

Under Section 20b SGB V, Germany's statutory health insurers fund workplace health promotion measures in the workplace setting. This generally requires the measure to be designed or certified according to the criteria of the GKV Prevention Guide.

For individual, behavior-based prevention courses, certification by the Central Prevention Review Body (ZPP) is the decisive proof. In the Nexus ecosystem, for example, Upfit's courses meet this ZPP certification — the health insurer can then cover the cost in full or in part.

Section 3 No. 34 EStG: The structured BGM process unlocks the €600

Under Section 3 No. 34 EStG, employer subsidies and benefits for workplace health promotion are tax- and social-security-free up to €600 per employee per year.

What matters: there are two paths. First, certified individual courses of behavior-based prevention (Section 20 (5) SGB V, ZPP). Second — and this is the underrated lever — workplace health promotion in the company setting: here, not every single measure has to be certified. It's enough for it to be part of a structured BGM process aligned with the action areas of the Prevention Guide.

In concrete terms: once your measures are embedded in a documented BGM process (needs analysis → planning → implementation → evaluation), they qualify for the €600 budget per employee. BGF-Kompass and EasyBGM deliver exactly this process — structured, aligned with the action areas, and transparently documented. That turns a standalone measure into an eligible BGF benefit.

The 6-phase BGM process as a prerequisite

The Prevention Guide describes workplace health promotion (BGF) as a managed process. Documenting it fulfills the condition for the tax benefit — and makes the impact visible to leadership and the health insurer.

1. Preparation
2. Structure setup
3. Analysis (e.g., maturity check, employee survey)
4. Planning (measures per action area)
5. Implementation
6. Evaluation (metrics, annual report)

How to apply for funding — step by step

The three funding paths can be combined. In practice, this order has proven effective:

Choose certified measures (ZPP-certified, e.g., Upfit nutrition coaching).
Document the BGM process — BGF-Kompass guides you through analysis, planning, and evaluation.
Clarify Section 20b subsidy eligibility for the certified measure with the health insurer.
Report the employer subsidy of up to €600 tax-free under Section 3 No. 34 EStG through payroll.
Optionally add non-cash bonuses of up to €50/month under Section 8 EStG (e.g., Move Republic vouchers).

Quick check

What's your company's workplace-health maturity?

Your maturity level decides whether your measures qualify for the tax-free €600 budget. Answer in 3 minutes — no sign-up.

Start maturity check (3 min.)

Related measures & topics

Key takeaways

The key to the €600 budget is the structured BGM process — not necessarily individual certification.
Section 3 No. 34 EStG: up to €600/employee/year tax-free once measures are part of this process.
Section 20b SGB V: additionally, a health insurance subsidy for certified measures (e.g., Upfit/ZPP).
Section 8 EStG: additionally, a €50/month tax-free benefit-in-kind.
BGF-Kompass and EasyBGM deliver exactly this process — making measures eligible for funding.

Frequently asked questions

How much is the tax-free BGF subsidy?+

Up to €600 per employee per year under Section 3 No. 34 EStG — tax- and social-security-free, provided the measure is certified or follows the BGM process per the Prevention Guide.

Does health insurance cover the cost of BGF?+

Yes. Under Section 20/Section 20b SGB V, statutory health insurers subsidize certified prevention measures in the workplace setting. This requires ZPP certification of the measure (e.g., Upfit's courses).

What's required for tax exemption under Section 3 No. 34 EStG?+

The measure must be certified or follow the BGM process per the Prevention Guide (6 phases). The BGF-Kompass/EasyBGM platform manages exactly this process.

Do all measures need to be ZPP-certified to be tax-free?+

No. For workplace health promotion in the company setting, it's enough for the measures to be part of a structured BGM process aligned with the action areas of the Prevention Guide — they then qualify for the €600 budget under Section 3 No. 34 EStG. There's also the path via certified individual courses (Section 20 (5) SGB V/ZPP). BGF-Kompass and EasyBGM deliver the structured process.

What applies in addition to the €600 allowance?+

Independently, non-cash bonuses of up to €50/month can be granted tax-free under Section 8 EStG (e.g., vouchers). Once the benefit-in-kind allowance is used up, the 30% flat-rate taxation under Section 37b EStG applies.

Set Up BGF for Funding Eligibility — with BGF-Kompass

BGF-Kompass manages the BGM process according to the Prevention Guide so your measures meet Section 3 No. 34 EStG requirements — including ZPP-certified partners like Upfit.

Check Your BGF Maturity in 3 Min View Measures

Sources

Last updated: 2026-06-17. Not legal or tax advice — have your specific case reviewed by a professional.

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