Elterngeld: parental allowance in Germany explained

Who needs it

Elterngeld is a payment for parents who look after their baby themselves and work less or not at all. It is separate from Kindergeld. You can usually get it if:

• you live in Germany,
• you live with your child and look after them yourself,
• you work no more than 32 hours a week on average in the months you claim, and
• your taxable income (zu versteuerndes Einkommen) in the last tax year before the birth was no more than €175,000. For couples, this limit applies to both incomes added together.

People without previous income, such as students or stay-at-home parents, can still get the minimum amount.

Non-EU citizens

It depends on your residence permit. Qualifying permits include a settlement permit, EU permanent residence, an EU Blue Card, an ICT Card, and residence permits that allow work and are valid for at least six months.

Permits for training, au pair work, seasonal work, voluntary service, or looking for work or qualification recognition usually do not qualify, unless you are employed, on parental leave, or receive unemployment benefit. Some humanitarian permits qualify under extra conditions. EU/EEA citizens generally qualify like Germans.

How much you get

The rate is 67% of your average net income in the 12 months before the birth. For net income above €1,200 it falls gradually to 65%. For low incomes below €1,000 it rises, up to 100%. Maternity pay (Mutterschaftsgeld) received after the birth is counted against Elterngeld. There are extra amounts for siblings and multiple births.

For your personal amount, use the official Elterngeld calculator on the Familienportal.

When

Apply within three months of the birth. Elterngeld is only paid retroactively for the three months of life before the month in which your application arrives. If you apply late, you lose money.

You can prepare the application before the birth, but you can only submit it once you have the birth certificate.

What you need

• Birth certificate for Elterngeld (Geburtsurkunde), issued by the registry office (mandatory)
• Proof of income from the 12 months before the birth: payslips; the self-employed use their last tax assessment (mandatory)
• Confirmation of maternity pay and the employer's top-up, if you received them (depends)
• Confirmation from your employer about hours during the Elterngeld period, if you work part-time (depends)
• Your residence permit, if you are a non-EU citizen (depends)
• Your tax ID, IBAN and ID (mandatory)

How to do it

1. Plan the months together. Decide who takes which months and whether you use Basiselterngeld, ElterngeldPlus or a mix. You can change the plan later, within limits.
2. Find your Elterngeldstelle (parental allowance office). It is organised by your state, often at city or district level. Your city or district website names the office responsible for you.
3. Apply. Depending on your state, you can apply online through ElterngeldDigital or on paper. Both parents sign one application.
4. Send supporting documents and answer questions from the office quickly.
5. Receive the decision letter (Bescheid) and payments, usually monthly for each month of your child's life.

What happens afterwards

Elterngeld is paid for your child's months of life, not calendar months. If you work part-time while receiving it, the office may check your actual income afterwards and ask for money back if you earned more than planned.

Elterngeld itself is tax-free, but it can increase the tax rate on your other income (Progressionsvorbehalt). You must then file a tax return.

Common problems

Is Elterngeld the same as parental leave?

No. Elternzeit (parental leave) is your right to time off work, and you arrange it with your employer. You usually must request it in writing at least seven weeks before it starts. Elterngeld is the money. You can take Elternzeit without Elterngeld and the other way round.

Can I get Elterngeld as a freelancer?

Yes. Your income is based on the profit in your last tax assessment before the birth.

We earn more than the income limit. Can we still claim?

No. If your taxable income was above €175,000 (for couples, combined), there is no Elterngeld. The limit refers to taxable income in the last completed tax year before the birth, not your gross salary.

Does my private health insurance affect Elterngeld?

Not the amount. But during unpaid parental leave, your health insurance situation can change. Check with your insurer before the birth. See health insurance.

Costs

Applying is free.