Who can benefit from the increased housing allowance

Who can benefit from the increased housing allowance

Hhe high costs for heating, electricity and groceries put many households in Germany under pressure. That’s why it should be now housing benefit increase, which helps people on low incomes to pay the rent. The group of beneficiaries is also being expanded. But many of those affected do not even know that they could get help from the state at all.

What exactly is housing benefit?

It’s like a government subsidy to rent for people on low incomes. Even those who own an apartment or a house and have little money can get support. However, this only applies if you do not receive any other social benefits that already take housing costs into account, i.e. unemployment benefit II, social benefit or student loans. The federal states or municipalities are responsible for applications and payments.

How much money can you get?

That depends on how high the rent and income are and where exactly you live. Minister of Construction Klara Geywitz wants to significantly increase the housing allowance in general, by an average of 190 euros per month. The previous housing benefit households would thus receive around 370 euros per month from January instead of an average of 177 euros. The federal cabinet approved Geywitz’s proposal on Wednesday, after which the Bundestag still has to be consulted.

Who can get housing benefit?

Whether you are entitled to housing benefit depends on a complicated calculation – there is no easy-to-remember income threshold. This is probably one reason why not all households that are entitled to it have applied for housing benefit. Factors in the calculation are income, rent, household size and place of residence. You can use the ministry’s housing allowance calculator to calculate whether you could get housing allowance online.

So far, 600,000 households in Germany have received housing benefit. The reform is expected to add 1.4 million more households. Geywitz has announced that in the future, those citizens who earn minimum wage or have a pension of a comparable amount should also receive housing benefit.

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