The German government has agreed on a bill for a comprehensive reform of the parental benefit Elterngeld. The document provides for an increase in the minimum and maximum payments, a change in the procedure for calculating them, and new rules for distributing paid months between parents.

This was reported on November 13 by Welt citing the German news agency DPA. The main provisions of the reform are published on the website of the Federal Ministry for Family Affairs.

The main goal of the changes is to encourage parents to more evenly distribute the time of caring for a child. At the same time, the government kept the maximum duration of the basic benefit at 14 months, giving up the previously discussed reduction to 12 months.

The reform provides for an increase in the minimum amount of Elterngeld from 300 to 330 euros, and the maximum from 1800 to 1900 euros per month. This will be the first increase in the established benefit amounts in almost 20 years.

At the same time, a new model of distribution of payments between parents is proposed — 4+6+4. Of the total period of 14 months, four months will be assigned to each parent, and the remaining six months the family will be able to distribute at its own discretion.

Thus, one parent will be able to receive basic benefit for a maximum of ten months instead of the current twelve. To use all 14 months, both parents will have to apply for benefits for at least four months each.

For single parents, the possibility of receiving benefits for 14 months will remain.

The size of compensation for lost earnings will also change significantly. Currently, basic benefit usually amounts to about 65% of previous net income. After the reform, it is planned to establish two rates:

  • 80% of previous net earnings — during the first four months of receiving benefits by each parent;
  • 50% of previous earnings — in the subsequent months.

For example, with a previous net income of 2000 euros, the monthly payment in the first four months may amount to 1600 euros. In the following months, with the same calculation base, the benefit will be reduced to 1000 euros.

Therefore, despite the increase in the minimum and maximum amounts, for some families the total volume of support may be less than under the current rules.

Another change concerns the calculation of income. For employees and self-employed persons, it is planned to use a uniform calculation period — the calendar year preceding the birth of the child. When determining the benefit amount, Christmas bonuses and other additional employer payments will also be taken into account.

In addition, the government intends to lift restrictions on simultaneous receipt of basic Elterngeld by both parents. This will allow the mother and father to simultaneously apply for payments for a longer period.

It is also planned to extend the payment period of the additional allowance for families that already have young children. At the same time, the percentage rate of such allowance is planned to be reduced.

The changes may also affect Ukrainian families living in Germany. According to clarifications of the Federal Family Portal, Ukrainians with temporary protection can claim Elterngeld if they have a residence permit under §24 of the Residence Act for at least six months and comply with the other conditions of the program.

The right to the benefit depends, in particular, on living together with the child, independently caring for it, and observing restrictions on employment. Under certain conditions, parents who did not work before the birth of the child may also receive the minimum payment.

The new rules are planned to be introduced from November 2027. However, the agreement of the bill by the government does not yet mean its final adoption. The document must be considered in the Bundestag, and individual provisions may change during the legislative procedure.

Until the reform enters into force, the current conditions for receiving Elterngeld will remain. The minimum basic benefit is 300 euros, the maximum is 1800 euros per month.