More money for parents in Germany. The German government aims to assist parents with various benefits. These include financial grants that many parents are unaware of. While Child Benefit (Kindergeld) is widely recognized, there are additional forms of support available.
More money for parents in Germany
Many families, whether they have one child or several, can benefit from these aids. One such benefit is parental allowance (Elterngeld), which compensates for the loss of income for parents who care for their child after birth. However, parental allowance in Germany requires an application process, and many foreign parents face challenges due to language barriers. The application is only available in German, making it difficult for non-German speakers to navigate. Detailed information about parental allowance is provided by the Federal Ministry for Family Affairs at familienportal.de.
Maternity leave
Currently, parents in Germany receive child benefit (Kindergeld) of 250 euros per child per month through the family fund of the Federal Employment Agency. However, child benefit is expected to be replaced by basic child benefit starting in 2025.
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However, maternity benefits remain available. Pregnant women and mothers in the protection period have the right to receive maternity benefits (Mutterschaftsgeld) under the German social security system. This financial support covers the period of maternity leave.
- it starts six weeks before the expected date of birth
- usually ends eight weeks after birth
If a woman qualifies for maternity pay, the amount she can receive depends on her type and extent of health insurance, as well as her earnings before maternity leave.
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Parental allowances: Child benefit and maintenance payments bring in more money
The child allowance supplement, Kinderzuschlag (KiZ), is designed for low-income families and single parents. The state provides a maximum of 292 euros per child per month in 2024, but certain criteria must be met. This includes a minimum income threshold of 900 euros gross for couples and 600 euros for single parents. The subsidy is available for each child up to the age of 25 (if unmarried). Additionally, there’s a maintenance advance available in Germany, which can be claimed by single parents not receiving regular child support. The amount of support varies based on the child’s age:
- Children from 0 to 5 years –Â up to 230 euros
- Children aged between 6 and 11 years – up to 301 euros
- Children between the ages of 12 and 17 – up to 395 euros
What is Child Tax Benefit?
Families can explore the option of the tax allowance (Kinderfreibetrag) in addition to regular state funding. Unlike Kindergeld, the tax allowance isn’t paid out monthly but is deducted annually from taxable income. This arrangement is more beneficial for parents with higher incomes. The tax office assesses each year whether the tax allowance or Kindergeld is more advantageous, and this process is automatic, without the need for an app, as reported by ruhr24.de.