German Income Tax Guide

German Income Tax: Families & Children (Kindergeld) German Income Tax: Families & Children (Kindergeld)

German Income Tax: Families & Children (Kindergeld)

German Income Tax: Families & Children (Kindergeld)

German Income Tax Guide — Chapter: Family Benefits

Families & Children (Kindergeld)

Last updated: 27 October 2025

At a glance: From January 2025, Kindergeld is €255 per child per month. Eligibility generally depends on residency or German tax/social security ties. On assessment, the tax office compares Kindergeld with the child tax allowances (Kinderfreibetrag + BEA allowance). If the allowances are more favorable overall, tax is reduced and the paid Kindergeld is offset (Günstigerprüfung).

Introduction

What Kindergeld is

Kindergeld is a monthly cash benefit to support children’s basic needs. It is paid by the Family Benefits Office (Familienkasse) of the Federal Employment Agency and is financed from the federal budget.

How it interacts with taxes

Germany combines social cash benefits with tax relief. During the year, Kindergeld provides liquidity; after year-end, the tax system checks whether the tax-free child allowances (Kinderfreibetrag and the care/education/training allowance, BEA) would yield a lower tax burden. The lower overall outcome applies automatically.

Why this matters for expats

Cross-border families often qualify under EU coordination rules even if one parent works in Germany while the family lives elsewhere in the EU/EEA/CH. Priority and top-up rules decide which country pays and whether a differential supplement applies.

Table of Contents

  1. Legal Basis & Key Sources
  2. Kindergeld Amount (2025)
  3. Eligibility & Age Limits
  4. Applying & Online Services
  5. Child Allowances vs. Kindergeld (Günstigerprüfung)
  6. Cross-Border Cases (EU coordination)
  7. Illustrative examples
  8. Compliance checklist & links
  9. FAQ

2) Kindergeld Amount (2025)

PeriodMonthly amount per childNotes
2024€250Unified rate for all children
From Jan 2025€255Automatic adjustment by Familienkasse (no new application required)

Payments are made monthly to the authorized recipient. In some cases, a differential supplement applies when another EU country is also competent.

3) Eligibility & Age Limits

  • Residence/ties: Typically for children with residence/habitual abode in Germany; cross-border EU rules may extend entitlement (see below).
  • Age: Generally until age 18; up to 25 during education/training; no age limit for children with disabilities who cannot support themselves (subject to conditions).
  • One recipient per child: Only one person receives Kindergeld per child; priority rules determine who that is.

4) Applying & Online Services

You can apply online via the Family Benefits Office (Familienkasse). With a Bund-ID you can submit fully digitally without printing/signature. Additional evidence can be uploaded online (e.g., continued schooling after 18).

5) Child Allowances vs. Kindergeld (Günstigerprüfung)

On assessment, the tax office compares Kindergeld with the tax relief from the child allowances:

  • Kinderfreibetrag (2025): €6,672 per child (both parents together; €3,336 per parent).
  • BEA allowance (care/education/training): €2,928 per child (both parents together; €1,464 per parent).
  • Total 2025 tax allowances: €9,600 per child (both parents together).

If the allowances reduce your income tax by more than the Kindergeld received, the tax office applies the allowances and offsets the Kindergeld against the relief (you don’t get both on top of each other).

6) Cross-Border Cases (EU coordination)

For families with ties to multiple EU/EEA states or Switzerland, Regulations (EC) 883/2004 and 987/2009 determine priority (which country pays first) and any top-up by the other country. Priority generally follows the child’s residence if a parent there is economically active, with exceptions based on employment vs. residence ties.

7) Illustrative examples (2025)

Example A — Single parent in Germany

Facts: One child (age 6) living in Germany.
Result: Monthly Kindergeld €255. On assessment, the tax office compares with the allowances; if the allowances would save more tax than total Kindergeld, they apply instead (with offset).

Example B — Couple, two children in university

Facts: Children aged 19 and 22 in full-time study, both in Germany.
Result: Kindergeld continues (age-limit extended while in education). Year-end comparison with allowances applies.

Example C — Cross-border family (Germany–Austria)

Facts: Parent A works in Germany; family resides in Austria; Parent B economically active in Austria.
Result: Priority and top-up per Reg. 883/2004/987/2009; the competent country pays first, the other may pay a differential supplement.

8) Compliance checklist & links

  • Confirm you meet eligibility (residence/ties) and the child’s age status.
  • Apply online and keep your Familienkasse profile to upload proofs (e.g., education after 18).
  • At filing, remember the Günstigerprüfung (allowances vs. Kindergeld).
  • For cross-border cases, keep employment and residence evidence for EU coordination.

9) FAQ

ℹ️ Click on a question to view the answer:

➕ How much is Kindergeld in 2025?

€255 per child, per month (from January 2025). The increase is automatic; you do not need to reapply.

➕ Until what age is Kindergeld paid?

Generally to age 18; up to 25 while in education/vocational training; no age limit for children with disabilities who cannot support themselves (subject to conditions).

➕ How do the tax allowances compare with Kindergeld?

For 2025 the child allowances total €9,600 per child (both parents together). The tax office compares: if the allowances save more tax than your Kindergeld, they apply the allowances and offset Kindergeld.

➕ How do I apply for Kindergeld?

Apply online via the Family Benefits Office (Familienkasse). With a Bund-ID you can submit fully digitally; proofs can be uploaded online.

➕ We live in another EU country but one parent works in Germany. Can we get Kindergeld?

Often yes. EU rules set priority (which country pays first) and whether a top-up is due. Provide evidence of residence and employment for the coordination procedure.

➕ Who receives the payment if both parents qualify?

Only one person per child can receive Kindergeld. Priority rules (e.g., with whom the child lives) determine the recipient.

Part of the German Income Tax Guide on taxrep.us.