Country profile

Germany

Definition
According to the German Civil Code (BGB) a foundation is a legal entity without members, endowed with assets dedicated to the permanent and sustainable fulfillment of a purpose specified by the founder. Mostly, these purposes are non-profit in nature. Even though a specific legal form cannot be automatically associated with the term, foundations do possess common features. Examples of legal forms include foundations under public law, foundations under private law, and non-profit limited liability companies (gmbHs). The basic distinction in German legal law is whether foundations are tax-privileged or fully taxable. Foundations that serve only public-benefit, charitable, and religious purposes are tax-privileged. Foundations that (also) serve other purposes, such as private purposes, are not. However, some of the largest foundations in Germany that also distribute funding to public-benefit and philanthropic causes are legally taxable foundations.

Germany’s philanthropy profile

€55,000 million (2023)

Pool of assets

€5400 million (2023)

Total expenditure

No data

Total employment

Germany’s foundations

25,777 (2023)

foundations

In the reported data, the 25,777 foundations are so called ‘foundations with legal capacity under civil law’. This is the only legal form of foundations whose total number is known, based on information from the foundation supervisory authorities, which is provided to the Association of German Foundations. The figures for assets and expenditure come from the 60 largest foundations under public and private law in Germany. These 60 foundations also include other legal forms than foundations with legal capacity under civil law. Five billion euros – this is the minimum amount that the financially strongest foundations in Germany distribute to fulfil their statutory purposes in 2023. The expenditure figure noted above (€5.4 billion) outlines total expenditure, inclusive of statutory purposes and administrative expenditure. Since only the largest foundations were taken into account and not all annual reports are publicly available, the actual total contribution of Germany’s largest foundations to society is much higher.