Group of children

Family benefits for children

German income tax law includes tax measures to provide financial relief for parents, particularly those with young children. The following questions and answers provide an overview of available benefits.

Child benefit and tax allowances for children

To claim child benefit, which is paid monthly, you must file an application with the Family Benefits Office (“Familienkasse”) of the Federal Employment Agency (“Agentur für Arbeit”). Please refer to their websites https://www.arbeitsagentur.de/en/financial-supportOpens in a new window and www.arbeitsagentur.de/familie-und-kinderOpens in a new window for further details.

Furthermore, the tax allowance for children and the allowances covering childcare, education and training for a child can be deducted from taxable income. These allowances are granted to each parent, so parents assessed jointly for income tax will receive double the amount. They will also double if one parent is deceased or not subject to unlimited income tax liability.

When dealing with your income tax return, the local tax office will automatically check whether it would be more beneficial for a family to receive the tax allowances for children or child benefit. The monthly child benefit payments are considered as advance payments on the tax allowances for children at the end of the year.

For children over 18 years old, tax benefits are only available upon application and if the requirements are met.

For detailed information on requirements, entitlements, claiming, child benefit amounts and payments, and tax allowances for children, please refer to our website "Steuerwegweiser für Eltern"Opens in a new window or your local Family Benefits Office FamilienkasseOpens in a new window (all links in German).

Tax relief for single parents

This tax relief aims to ease the financial burden on single parents who are responsible for their own living expenses. This relief on wage tax deduction (tax class II) and income tax assessment is available upon application, provided that the requirements are met. For more information, please refer to the tax brochure for parents Steuerwegweiser für ElternOpens in a new window (in German).

Childcare expenses

Childcare expenses for children up to age of 13 may be partially deducted as special expenses. Exceptions exist for children over the age of 13 who are unable to support themselves due to a disability.

Further details can be found in the tax brochure for parents Steuerwegweiser für ElternOpens in a new window (in German).

School fees

If a child attends a private school, parents may deduct a portion of the school fees (excluding accommodation, supervision and meals) as special expenses, provided they are entitled to claim the tax allowance for children or child benefit.

To qualify for this deduction, the school must be located within the European Union or the EEA and its leaving qualification (general education or vocational education) must be approved by the German government.

Further information can be found on the website https://schulaemter.hessen.de/schulbesuch/schulbildungskosten/steuerliche-absetzbarkeit-von-SchulgeldzahlungenOpens in a new window (in German).