What political goals are pursued with basic child welfare?
DThe aim of the traffic light reform is to effectively combat child poverty, reach more families in need of support and create better opportunities for children and young people.
Which problems specifically should be addressed?
Federal Family Minister Lisa Paus (Greens) points out that one in five children in Germany is at risk of poverty, also because state benefits are not received. The child allowance is only claimed by 35 percent of families. The information on the child allowance is based on estimates by the Fraunhofer Institute FIT from 2019. At that time, around 250,000 children received the benefit. However, following legal simplification, many more children are now being reached. In June 2023 there were around 926,000 children.
Which benefits are replaced by the basic child benefit?
Child benefit, citizen’s benefit and social assistance for children, the child allowance and parts of the education and participation package.
What comes instead?
The basic child benefit consists of three components: the so-called child guarantee amount, which corresponds to child benefit, an income-dependent and age-graded child supplementary amount and certain benefits for education and participation.
Who is entitled to the new child supplement?
It is intended for children at risk of poverty. Whether a claim exists depends on the parents’ income. According to the draft law, up to 5.6 million children should be able to claim the additional child benefit, including around 1.9 million children who currently receive citizen’s benefit.
So children will no longer receive citizen’s benefit in the future?
The new additional child allowance has priority over citizen’s benefit. In certain cases, however, additional citizens’ benefit can be applied for, for example because the family has unforeseen necessary expenses for the child or because the family’s income has reduced to such an extent that the child’s subsistence level is no longer guaranteed.
What happens to the current child allowance?
The child allowance of a maximum of 250 euros per child per month will become part of the new additional child allowance. This also changes the application requirements. In contrast to the child allowance, there is no minimum income limit for receiving the new child allowance – currently 600 euros gross for single parents and 900 euros gross for couple families.
What will happen to the immediate surcharge?
The temporary immediate supplement of 20 euros per month for children affected by poverty will no longer apply with the introduction of basic child welfare. It will be offset against the planned increase in standard requirements for children. There was a dispute at the traffic lights until the end because children of asylum seekers would no longer receive the allowance in the future.
How will education and participation benefits be regulated in the future?
The school supplies package currently amounting to 174 euros annually and the flat rate of 15 euros per month for clubs, cultural and leisure activities (participation allowance) are automatically applied for and paid out together with the new additional child allowance. Further benefits for education and participation, such as financial support for school trips or school trips, will initially continue to be applied for at the job center or social welfare office.
What is the so-called children’s opportunities portal?
The aim is to improve access to participation services in the social and cultural areas as well as for education. But that can still take some time. The online platform is scheduled to be created by January 1, 2029.
But does basic child support start earlier?
The draft law specifies January 1, 2025 as the start date. The Federal Employment Agency (BA), which is supposed to implement basic child welfare, initially assessed the start on this date as unrealistic, especially because of the necessary IT adjustments. There were then adjustments to the bill. The BA now says that if the amendment is passed as planned at the beginning of next year, the gradual introduction could begin in 2025.
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