Calculate citizens' allowance: How much citizens' allowance will you receive?

Citizens' allowance (formerly Hartz IV) provides basic security for people who are able to work but have no or insufficient income. Many people are now wondering how much support they are actually entitled to and how this amount is calculated.

Citizens' allowance, which is an important source of support in everyday life for many people, is not just a number in a bank account. Understanding the requirements, special needs, and the influence of income and assets is crucial in determining the appropriate amount for each individual.

What is citizens' allowance?

Since 2023, the citizens' allowance has replaced Hartz IV benefits. The traffic light coalition government introduced it to provide financial support to people who cannot earn a living on their own.

Before anyone receives citizens' allowance, their assets and income are checked. These may have to be used before support is granted.

The standard rate for a single person in 2025 is 563 euros per month.

Requirements for eligibility

The citizens' allowance provides financial support for people who are unable to secure their livelihood on their own. Certain requirements must be met in order to receive the citizens' allowance. The basic requirements are:

1. Age: Applicants must be at least 15 years old, but must not have reached retirement age.

2. Residence: Applicants and their families must also reside in Germany and, if necessary, have a residence permit.

3. Ability to work: Another important factor is the ability to work, i.e. that the applicant is healthy enough to work at least three hours a day. This is particularly relevant for people with an illness or disability.

Need for assistance is also a core requirement. This means that the person cannot cover their living expenses on their own. Interestingly, citizens' allowance can also be applied for independently of previous professional activity.

Tip: If you do not meet one of these requirements, there are often alternatives. If you are of retirement age or unable to work, you may be eligible for basic income support in old age or in the event of reduced earning capacity. Without a residence permit in the asylum procedure, benefits are available under the Asylum Seekers Benefits Act.

The monthly amount of the citizens' allowance in 2025

The amount of the citizens' allowance depends on various factors. These include the living situation, income, and number of children.

The citizens' allowance always depends on the needs of the entire community of need, i.e., generally the family living together. This is divided into standard needs, additional needs, and accommodation costs.

The standard needs are broken down as follows.

This means that a single mother with two children between the ages of 6 and 13 would have a standard requirement of €1,343 (€563 + €390 + €390).

In addition, there are accommodation costs, i.e., rent, which are generally covered. Although the rent must be reasonably high, this is not checked in the first year of receiving citizen's income.

Furthermore, so-called additional needs are granted for the following situations:

• Single parents: 12–60% of their own standard needs, depending on the number and age of their children

• Pregnant women: 17% of their own standard needs

• Persons with disabilities: 35% of their own standard needs

• Persons with walking disabilities: 17% of their own standard needs

• For expensive nutrition due to illness: 10-20% of their own standard needs

Additional requirements may apply for hot water and other special needs. The rates for these requirements are always calculated as a percentage of the standard requirement for the person concerned, not of the total standard requirement.

The total requirement is then calculated as follows: standard requirement + additional requirements + accommodation costs (rent).

The standard rates will remain unchanged for 2025. A citizens' allowance calculator helps to determine the exact amount. The calculator takes into account the current standard rates and personal factors.

Effects of wealth and income

When receiving citizens' allowance, your own assets and income play an important role. During the so-called waiting period, assets are only taken into account if they reach a considerable amount. Otherwise, assets are only counted towards benefits after certain allowances have been deducted. Income earned by the applicants themselves is also taken into account. However, special allowances come into play here, which do not have to be taken into account. This means that the net income is not deducted in full from the standard needs and housing costs. In general, all income is taken into account when calculating income. You can find out more about the calculation of income and assets below.

Effects of wealth

Assets play a role in the calculation of the citizens' allowance. The following allowances apply to assets in the first year of receipt:

• For the applicant: €40,000

• For each additional person in the household: €15,000

After the first year, applicants are also only entitled to an allowance of €15,000. If you exceed this amount, your assets will initially be taken into account, so you are not automatically excluded from receiving the citizens' allowance.

Tip: Owner-occupied real estate, a car that is needed, or normal household goods are not counted as assets.

Impact of income

The same applies to income earned from employment, freelance work, or a mini-job. Income from gainful employment is only partially credited against the citizens' allowance. Other income such as unemployment benefits, child benefits, or sick pay are credited in full.

Income from gainful employment, such as salaries, internship remuneration, or income from freelance work, is counted toward the citizens' allowance after deducting the allowances. As a result, you always have more at your disposal with income and citizens' allowance than without a job. However, the income calculation is somewhat more complicated. There are so-called allowances that depend on gross income and are graded as follows.

Example
If you have a gross income of €750, for example, the allowance would be calculated as follows:

€100 + €84 + (750 - 520) * 30% = €253

This amount is then deducted from your net income. Any amount remaining above this is credited to the citizens' allowance. If your net income in our sample calculation is $650, $397 ($650 - $253) would be credited to the citizens' allowance.

Tip: Generally speaking, parental allowance is counted in full as income. However, parents who were previously employed are entitled to an allowance of up to €300 in basic parental allowance and up to €150 in parental allowance plus.

Duration of citizens' allowance payments

Citizens' allowance is generally paid for as long as it is needed. It is generally granted for up to 12 months. In special cases, however, it can be reduced to 6 months.

Important information about the benefit period:

• Generally approved for 12 months in regular cases

• Approval shortened to 6 months in cases of:

  • Fluctuating income

  • Self-employment

  • High (unreasonable) housing costs

After this period has expired, an application for further approval can be submitted. The job center will then check whether an extension of the citizen's income benefit is possible. A notice of approval will then provide information about the exact duration of the support.

Apply for citizens' allowance

You can now apply for citizens' allowance conveniently via LeistungsLotse. Here are the most important steps for applying for citizens' allowance:

1. Check: Use our needs calculator (see above) to quickly check whether you are eligible for citizens' allowance.

2. Prepare documents: Have your bank statements, proof of income, rental agreement, etc. ready.

3. Fill out the online application: To save time, you can conveniently submit your application online.

4. Wait for verification: After submitting your application, everything will be verified and any additional documents may be requested.

The citizens' allowance calculator

The citizens' allowance calculator calculates whether you are entitled to citizens' allowance and how much you are entitled to. It uses the current legal regulations. From January 1, 2024, the basic standard rate will be €563. This amount is central to all calculations. The calculator also takes into account standard rates and additional needs. However, assets are not taken into account. An exact calculation will only be made after the official application for citizens' allowance has been submitted. The legal basis on which the calculator is based was decided by the Bundestag and Bundesrat.

Conclusion

Since 2023, the citizens' allowance has replaced the former unemployment benefit 2 (ALG 2). Its introduction by the traffic light coalition government brought with it new calculation bases. A central component is the basic standard rate, which will be €563 from January 1, 2024. The calculation of the citizens' allowance depends on various factors, including existing assets. Exemptions are taken into account here.

An online citizens' allowance calculator can provide initial guidance. This allows potential entitlements to be assessed in advance, taking into account standard rates and additional needs. It is important to note that the actual entitlement is only determined after an official application has been submitted.