Awareness of changes in welfare benefit systems is very important for individuals and families because it directly affects their quality of life. In Germany, where social benefits play an important role in supporting citizens, it is essential to be informed of any changes that may affect financial well-being. Over the last three years, Germany has seen some remarkable changes in the area of social benefits. The increase in child allowances deserves special attention. In this article, we will discuss the recent adjustments and explain the transformation of child benefits in Germany, building on our previous article from 2020.
Growth in child benefits:
One of the most significant changes to the welfare system in Germany is the increase in child benefit over the last three years. Child benefit, an important pillar of support for families, has seen positive changes aimed at providing better financial assistance.
In our article three years ago, we pointed out that the child benefit was €219 for the first and second child, €225 for the third child and €250 for each additional child. Since then, however, the German government has made a significant policy change to ensure fairer and more equal benefits for all families.
At present, child benefit is unified at €250 per child, regardless of the number of children in the family. This change ensures that families with multiple children receive the same amount of financial support per child. This removes any differences based on birth order or number of siblings. But this is not the only financial help for parents in Germany. They can also claim a tax credit of €4,260 per year!
Which parents are entitled to it?
All children who are legally resident in Germany are entitled to the allowance. This includes children from any EU country who are resident in Germany or have a residence permit. In some cases, the child does not have to live in Germany. However, this can only happen if one or both parents work in Germany. The amount and eligibility is determined based on the child’s country of residence.
Have there been any major changes in the welfare system in Germany in recent years?
For benefits such as paid leave or 13. and 14th salary, there have been no changes in the last few years. The minimum length of maternity leave remains 14 weeks. And in case you’d like to know what everything looked like in 2020, you can read our article here.
To summarise, although Germany is an economically stable country, the amounts provided as social benefits to parents have not changed that much compared to other countries. Even countries with smaller economies, such as Slovakia, are making much more drastic changes – more on that here.
When choosing a job, it’s also important to keep in mind the benefits you receive – position and salary aren’t everything. And since we in society Atena understand this very well, we do everything we can to ensure that, in addition to excellent salaries, we offer a benefits package that far exceeds that of others in the same industries. Atena also provides up-to-date information to all those who work for us so that they can take advantage of any government benefits they may be entitled to. Work with professionals, success is not a lucky chance!
