Would you prefer money to your family

Child bonus for families - that's how much money you can get from autumn

The child bonus is paid for every child who was entitled to child benefit for at least one month in 2021.

How is the child bonus 2021 offset?

The child bonus is offset against the child tax allowance, but not counted towards the basic security. There is a one-time fee of 150 euros. Last year, this amount was 300 euros - mainly to raise the consumer mood and stimulate the ailing economy.

Child bonus is generally treated like child benefit. The bonus, like the child benefit, is to be offset halfway towards the child's needs.

There was so much child bonus in 2020

In 2020, families received a bonus of 300 euros in addition to the monthly child benefit. The consequences of the corona crisis should be mitigated for families. According to Franziska Giffey, Federal Minister for Family, Seniors, Women and Youth, more than four billion euros were paid out for around 16 million children.

One-time corona allowance also for adults

150 euros: This corona grant should also be given to adult recipients of basic income support. For the self-employed and employees with low incomes, access to basic security will also be extended until the end of 2021.

Family bonus helps parents and children

Family bonus was one of the buzzwords in 2020: The additional money was paid out from September 7th. Parents of around 18 million children in Germany received an extra 300 euros for each child - staggered 200 euros in September and 100 euros in October. The family bonus is one of the means by which the government can reduce the impact of the family Corona crisis wants to mitigate. Federal Family Minister Franziska Giffey stated: "The child bonus is socially fair."

In the fight against the corona crisis, the Union and the SPD agreed on an economic stimulus package totaling 130 billion euros in 2020. All parents entitled to child benefit received a one-time bonus of 300 euros per child.

Parents with a higher income who benefit more from the child allowance than from child benefit do not really benefit from the bonus overall. The family bonus is not counted towards the basic security. This means that people who receive social benefits such as Hartz IV receive an additional 300 euros.

When is the child bonus paid out? The number decides

How quickly families see the money in the account is determined by the final digit of the child benefit number. If this is zero, the payout will be made first. Numbers 1 to 9 will then be paid out gradually over the course of the month.

This corona aid will come in 2021

  • The coalition committee has decided that families will also receive a child bonus in 2021 because of the corona crisis
  • The VAT reduction for the catering industry will be extended
  • There is additional tax aid for businesses
  • Surcharge for recipients of basic security comes

Review: The Family Bonus Plan

Finance Minister Olaf Scholz (SPD) planned that parents would receive a one-off payment of 300 euros for each child - and the plan worked. This should stimulate the ailing economy in times of the corona pandemic. Overall, the family bonus would cost between five and six billion euros. The NRW state government around Armin Laschet (CDU) has even proposed a bonus of 600 euros per child. Families who master the balancing act between home office, home schooling, childcare and work in the Corona crisis should be rewarded more clearly. In 2018 there were around 11.44 million families in Germany, according to Statista. Each child should now receive 300 euros, regardless of how much the parents earn.

The news that the 300 euro bonus will even be paid out if the mother is currently pregnant attracted a lot of attention. The child must be born by 11:59 p.m. on December 31st.

Is there an income limit for the family bonus?

Up to a taxable income of 90,000 euros annually, families benefit from the family bonus.

Does the family bonus count towards social benefits?

The family bonus is not counted towards the basic security. Recipients of social benefits such as Hartz IV or housing benefit receive the full 300 euros in addition to the standard rates. However, parents with higher incomes who benefit more from the child allowance than from child benefit do not benefit from the bonus. The money is paid out to them, but the distribution is offset against the tax exemption when they submit their tax return.

Who gets the child bonus with separated families?

In the case of separated or divorced parents, the payment is based on the transfer of the child benefit. Only one parent receives child benefit at a time. In the case of separated parents, the person in whose household the child predominantly lives. This means that the child bonus is paid out to the parent to whom the child benefit also goes.

What does the economic stimulus package provide for single parents?

For single parents, in addition to the family bonus, a tax bonus is planned for 2021. Accordingly, the relief contribution for single parents is to be increased from 1,908 euros to 4,000 euros. This regulation is valid for the years 2020 and 2021.

Child bonus: Critical voices from politics

The SPD would like to continue promoting the family bonus, but the Union is rather critical. The proposal originally came from Family Minister Franziska Giffey (SPD). Wouldn't it make more sense to end home schooling? One of the reasons for the family bonus is that parents could use the money to buy laptops or tablets for the children so that they can learn better digitally. Fractional leader Ralph Brinkhaus (CDU) told the “Frankfurter Allgemeine Sonntagszeitung” that he rejected the one-off payment for families, as it originally came from Family Minister Franziska Giffey. Antje Tillmann (CDU), financial policy spokeswoman for the Union parliamentary group, blows the same horn and told the "Rheinische Post": "Due to the massive new debt that the aid measures have already caused, a family bonus for all families is not targeted enough." According to Tillmann It is better to link the bonus to the granting of the child allowance, which only parents in need received. "In order to improve the situation for families overall, bringing forward the next increase in child benefit would be the better way," said Tillmann.

Markus Söder (CSU), on the other hand, is open to the family bonus. "We have to strengthen domestic demand in order to partially offset weaker exports," said Söder to "Welt am Sonntag". “We should prefer the abolition of the solidarity surcharge. That would be the biggest tax cut in more than 30 years. A family bonus is also useful. "

Social associations demand more support

While there was discussion about the purchase bonus for cars, social associations are calling for more support for the elderly and low-wage earners. The educational scientist Ulrich Schneider from the general association “Der Paritätische” states that the free school lunch is currently canceled and that many low-wage earners do not have the opportunity to work in the home office and look after the children. Sales women have a presence job. These families now have to be given acute help, demands Schneider.

Further expand aid programs for the self-employed

Another innovation in June 2020 is the expansion of the aid program for the self-employed, including freelance engineers and artists. This group is to be given preferential tax treatment in the future, because the so-called loss carry-back is to be expanded. This makes it easier for companies to offset the losses from 2020 with the profits from previous years.

Do you want to register for self-employment? Here you can find out how engineers correctly register their self-employment.

Other topics:

Maternity Protection and Maternity Protection Act

Child Sick Allowance: When Engineers Are Eligible

Child benefit: what you need to know about support