A cautionary note: Banking and money matters are your responsibility. The program does not have the means to aid you if you find yourself without funds.
The currency in Germany is the euro. You can check daily exchange rates online. Money handling is a personal issue and will depend on individual characteristics. It is, however, recommended to have at least 300 euro cash with you when you arrive. This will cover initial expenses like food, transportation and hotel expenses when you first arrive if you can’t move directly into student housing. Pay attention to your housing materials — you will likely have to pay a security deposit in cash upon arrival. If you don’t purchase a linen packet or your university doesn’t offer one, you may need to buy towels, sheets, pillows, etc. This may increase the amount of cash you will need upon arrival.
Banking
Opening a bank account in Germany may be necessary and required by your university. Your university will direct you to the best place and help you do this. Remember, it may take a week or more for you to establish a bank account or access money from home, so take the necessary precautions to avoid being caught without cash.
Banking hours vary greatly by region and branch. Check for hours of operation online. The currency exchange in airports and large train stations are usually open both evenings and weekends. The major banks are Commerzbank, Deutsche Bank, Sparkassen and Postbank. Checks are not very common in Germany. Some monthly payments, such as rent, can be made through a direct money transfer from one bank to another. For day-to-day purchases, most people pay with cash or an EC card. Visa and Mastercard are the two most widely accepted credit card systems; American Express is usually not accepted in Germany. Contactless payment with NFC capable cards or smartphones is becoming more common.
Note: If your bank is affiliated with a German bank in your host city, you may be able to avoid a variety of fees, including ATM usage and access fees and international transaction fees for conversion to U.S. dollars, by using international partner ATMs. An example of such an affiliation is Bank of America and Deutsche Bank.
Earning money in Germany
As an international student in Germany, you are allowed to work. However, certain rules apply. If you are a U.S. citizen, then you are only allowed to work up to 120 full days or 240 half days in a year. If you wish to work more, you need a permit from the Agentur für Arbeit (Federal Employment Agency) and the Aliens’ Registration Office. Whether you are issued a work permit largely depends on the condition of the job market in your city. You are less likely to receive a permit in regions with higher unemployment rates.
- You may exceed the 120 day limit if you work at your university as an academic assistant. However, even in this case, you must inform the foreigners’ authorities.
- You are not permitted to work in a self-employed or free-lance capacity (e.g., as a translator). If you are unsure about what kind of job you have been offered, consult your university’s student services office or international office.
- Regulations are particularly strict for participants of language courses or Studienkolleg. You may only work in lecture-free periods and only with the consent of the foreigners’ authorities and the Agentur für Arbeit.
It is essential that you comply with the labor laws for international students. You may be expelled from Germany if you break these laws. The advisers for international affairs at the Studentenwerk or international office at your university will be glad to advise you.
Read more about earning money in Germany. If you earn income while abroad, check the U.S. IRS website to see if you need to file a tax return on foreign-earned income.