Articles on: Becoming Self-Employed in Luxembourg

Do I Need to Register for a Small Side Activity in Luxembourg?

Short answer: yes, you need to register. There is no minimum income threshold for self-employment in Luxembourg. Whether you earn 500 EUR or 50,000 EUR per year, if you regularly provide services or sell goods for money, you need a business permit (autorisation d'etablissement / Niederlassungsgenehmigung).


Question

Answer

Is there a minimum income to register?

No — there is no threshold

Do I need a business permit for a side activity?

Yes

What about dogwalking, tutoring, small online sales?

Yes — these are commercial activities

Is there a "hobby exemption"?

No — Luxembourg does not have one


There Is No "Hobby Exemption" in Luxembourg


Unlike some other countries, Luxembourg does not have a threshold below which your activity counts as a "hobby" and doesn't need to be registered. If you regularly provide services or sell goods in exchange for payment, that is a business activity — and you need a business permit.


This applies to all kinds of small activities:

  • Dogwalking or pet sitting
  • Tutoring or coaching
  • Selling handmade products online
  • Freelance design or translation work
  • Any service you provide regularly for money


The key word is regularly. A one-time sale of your old furniture is not a business. But if you routinely offer a service or sell products — even part-time, even for small amounts — you need to register.


What Registration Means in Practice


Getting a business permit doesn't mean heavy bureaucracy. For most small activities, especially those with no qualification requirement (like consulting, e-commerce, or coaching), the process is straightforward:


  • Business permit — apply through MyGuichet LU or on paper to the Ministry of Economy
  • CCSS (social security) — register after you receive your permit
  • VAT — if your turnover is under 50,000 EUR, you can use the simplified VAT exemption (no VAT on invoices, but you also cannot deduct input VAT on your business purchases — equipment, software, rent, etc.)


But I Earn Very Little — Do I Still Pay Social Security?


This is where the only "threshold" exists. CCSS contributions have an exemption if your income is below 1/3 of the minimum wage (approximately 901 EUR/month or about 10,800 EUR/year in 2026).


If you're below this threshold:

  • You pay no CCSS contributions
  • But you are also not covered against any risk under the self-employment head — no pension rights, no health coverage, no accident insurance from this activity. If you have no other coverage (e.g., from employment), you are uninsured.
  • You still must register — the exemption is about contributions, not about the obligation to have a business permit


The CCSS exemption does not remove the need to register. You still need a business permit even if your income is too low for CCSS contributions.


Quick Reference


What

Threshold

Required?

Business permit

No minimum income

Yes — always

CCSS registration

No minimum income

Yes — always

CCSS contributions

Below ~901 EUR/month

Exemption possible

VAT registration

Below 50,000 EUR turnover

Exemption possible (simplified regime)

Municipal business tax

Below 40,000 EUR profit

Allowance applies (commercial only)


Self-employment is a bold choice. We're rooting for you and your business every step of the way.
🙌💜 Your BravoLisa Team


This article is for general information purposes only and does not constitute professional tax, legal, or accounting advice. Every situation is different — consult a qualified professional (tax adviser, accountant, or lawyer) for advice specific to your circumstances. BravoLisa does not accept liability for decisions made based on this information.


Last updated: March 2026. Rules and thresholds may change — always verify with the relevant authorities for the most current information.

Updated on: 08/04/2026

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