Citizens’ income will be paid out punctually at the beginning of 2023 – what are the new standard rates?

Created: 12/30/2022, 4:00 p.m

By: Anne Hund

Citizens' allowance instead of Hartz IV: The new basic security should flow on time.

This also increases rates.

Which rules also apply from the new year.

Punctually at the beginning of 2023, the new citizens’ allowance is to be paid out to the needy in Germany.

This was reported by the German Press Agency (dpa) one day before New Year's Eve.

Thanks to the political agreement in November, the Federal Employment Agency (BA) will be able to pay out the increased standard rates on time on January 1st, dpa quoted BA CEO Andrea Nahles as saying.

As is well known, the new citizen's income replaces Hartz IV - here are the most important questions and answers about the reform.

1. What does the citizen money bring to the standard rates?

The rates increase “by around 50 euros”, as dpa explains.

In the future, the expected price development should be included in the calculation of the basic security more quickly.

“For single and single parents entitled to benefits, there are 502 euros per month from January 1st, for two adult partners in a so-called community of needs 451 euros each.

For young people between the ages of 15 and 18, 420 euros flow.

Children from the age of 7 to the age of 14 receive 348 euros.

318 euros are paid for children up to the age of 6.” What else will change in terms of finances in 2023?

An overview of the most important innovations – from child benefit to pensions.

The new basic security should flow in time for the start of the year.

© Monika Skolimowska/dpa-Zentralbild/dpa

2. Citizens' allowance from 2023: what does the new waiting period mean?

The suitability of the apartment is only checked after a waiting period of 12 months.

Until then, the actual costs of the apartment would be covered.

"The grace period does not apply to heating costs, which are granted to an 'appropriate extent' from the start," dpa continued with the details.

In the first 12 months, assets of up to 40,000 euros remain protected for the first person in the benefit community.

For each additional person in the community, this allowance increases by 15,000 euros.

"These regulations also come into force on January 1." After the waiting period, according to the dpa, there is an asset allowance of 15,000 euros for each person in the community of needs.

Reserves for old-age provision for the self-employed and owner-occupied housing should also be better protected.

3. What should be improved when it comes to placement in a job?

The citizen's income brings the "end for the so-called placement priority", describes the news agency: Up to now, job centers have often placed the unemployed in helper jobs, which they then did not do for long.

“In the future, further training and the acquisition of a vocational qualification will be more in the foreground.

In addition, access to funding for start-ups is simplified.”

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4. What sanctions should there be in the future?

If appointments are missed without an important reason, "the standard requirement can be reduced by 10 percent for one month," says dpa.

"If, contrary to agreement, someone does not apply for a job or does not take part in a course, then the standard requirement can initially be reduced by ten percent for one month." In the case of a second breach of duty, a reduction of 20 percent applies for two months and in the last stage 30 percent for three months.

The housing benefit will also be increased in 2023.

More households will benefit from it in the future.