If children live with their parents in a Hartz IV community of need, the parents are entitled to child benefits (at least in the case of minors without further requirements). Child benefit is a publicly funded benefit paid by the family benefits office to the legal guardian for each eligible child. The next child benefit increase took place in January 2021. These amounts are also valid for 2022, a new increase was not made.
Child benefit is offset against Hartz IV
It sounds strange and unfair that child benefit is credited to social benefits of people in need of assistance, but it is so. This has also the Federal Constitutional Court with decision of 11.03.2010 (Az. 1 BvR 3163/09) decided. A family had filed a constitutional complaint and failed before the highest German court.
The constitutional judges have ruled that the full crediting of child benefit as income against Hartz IV benefits (in this case, social benefit) does not violate basic rights.
The court is of the opinion that even Despite the complete crediting of the child benefit to Hartz IV, the subsistence level is ensured be. "The Basic Law does not require social benefits that take into account the need for care and education to the same extent as the tax law does", it says in the judgement reasoning.
Beneficiaries rightly feel that this imputation is unjust and unfair. Especially since children in Hartz IV families are demonstrably worse off than children who are not affected by it. Child poverty is a very present term in Germany and should not be underestimated.
Also the parental allowance was virtually eliminated with the reform 2011 for Hartz IV recipients, because it is now also fully counted against the benefits.
Detailed information on this topic can be found in the guide to parental allowance on kindergeld.org.
Instead of adjusting benefits for children or. to exempt the child benefit from the imputation, the Ministry of Social Affairs is playing around with alternatives. In 2011, a complicated procedure was created for this purpose, which is called the education package. However, many parents do not know that they are entitled to benefits at all or fail to apply for them.
Further information on the education package can be found under Education and participation package.
Child benefit is the child’s income
When child benefit is taken into account as income, it reduces the children’s standard rate/social benefit (§ 11 para. 1 SGB II). However, it is a prerequisite that the child lives in a community of need with the entitled parents.
If the child benefit together with alimony, child support advance or own income exceeds the needs of the child, the excess child benefit is credited as income to the parent entitled to child benefit. The child’s needs are made up of the standard needs + any additional benefits. Additional needs + the proportionate costs of accommodation and heating together. Needs for education and participation according to § 28 SGB are not taken into account when determining needs.
If the child is of age, the child benefit payments are counted as income of the parents or parents of the child. of the parent is counted, provided the children still live in the joint household.
What is also taken into account as income can be found under Hartz 4 income.
Deduction of 30 Euro lump sum for insurance
When child benefits are taken into account for children who have reached the age of majority, this is reduced by an insurance lump sum of 30 Euro.
The same applies to child benefits for minors who do not live in a community of need with a person of full age in need of assistance or minors who can prove that they have taken out insurance (§ 11b SGB II i. V. with § 6 ALG II-V).
Forwarding of child benefit – no imputation
Something else applies if the child is no longer at home lives and the parents still continue to receive child benefit.
If it can be proven that the child benefit is received on the account of the parents, but forwarded to the child, it is not counted against the Hartz IV benefits (§ 1 para. 1 no. 8 ALG II-V). Here a simple proof is sufficient, bspw. by a transfer voucher.
Important: The Forwarding of the child benefit must In the same month take place, in which the money of the family cash office on the account is received. If the timely forwarding is not made, threatens the reduction of the standard rate (decision of the Federal Social Court Az. B 14 AS 81/12 R).
The Federal Fiscal Court has also ruled (Ref. III 24/11) of 22.11.2012 decided that the child benefit is attributed to the parent entitled to child benefit, provided that the parent does not pass it on to the child.