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The child allowance was already increased in January – there could soon be even more money from the state retroactively

2024-01-31T05:29:17.286Z

Highlights: The child allowance was already increased in January – there could soon be even more money from the state retroactively. As of: January 31, 2024, 6:18 a.m By: Anna-Lena Kiegerl CommentsPressSplit The child allowance could be increased, at least that's what the FDP is suggesting. But the SPD and the Greens are reluctant. So will there soon be more money for parents? Munich – The dispute over increases in child allowances and child benefit continues.



As of: January 31, 2024, 6:18 a.m

By: Anna-Lena Kiegerl

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Press

Split

The child allowance could be increased, at least that's what the FDP is suggesting.

But the SPD and the Greens are reluctant.

So will there soon be more money for parents?

Munich – The dispute over increases in child allowances and child benefit continues.

As of January 1st, the tax exemption amount was increased from 6,024 euros to 6,384 euros and thus by 380 euros.

As the FDP-led Finance Ministry announced, this amount should be increased retroactively and then amount to 6,612 euros in order to adjust the amount to the increased child benefit.

But the SPD in particular, but also the Greens, are against these plans.

So which parents could be entitled to more money for their children in the future?

Another increase in the child tax allowance?

Who would then get more money?

Families with very high incomes would primarily benefit from an increase in the child tax allowance.

The tax office checks every year whether the child tax allowance or child benefit is cheaper for a family - only one of the two can be received.

The fact that the child allowance is more worthwhile is usually only the case for parents with higher incomes, but it must be checked depending on the situation.

Everyone else, mostly families with low or medium salaries, receive child benefit, which is currently 250 euros per month and per child.

If the child tax allowance were to be increased, high earners in particular would benefit from it.

© Imago/Lobeca

The increase in the allowance would therefore mainly benefit the highest earners.

They would then receive more money than before.

But that is exactly the point of criticism that the SPD, the Greens and social associations are making.

SPD party leader Lars Klingbeil also explains: “I think it is unfair to only relieve the burden on families with very high incomes.

The working middle class in particular, i.e. those who get up every day, work hard to earn their income and also look after their children, neighbors and the club, should be relieved.”

Critics of the increase in the child allowance are calling for an additional increase in child benefit.

“That’s why it’s completely clear to me that families with small and medium incomes also have to get more this year,” explains Klingbeil.

The SPD sharply criticizes the planned increase in the child allowance and also calls for an increase in child benefit

The SPD's financial policy spokesman, Michael Schrodi, sees it similarly.

He told the “BamS”: “The SPD will not go along with that.

There will be no majority for such plans from the Lindner house, so an agreement appears difficult.

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And he also calls for an increase in child benefit: “If there are 380 million for additional relief for the richest parents, then he also has the money for an increase in child benefit.” So which parents will ultimately really get more money, or whether everyone will be relieved , remains uncertain.

Source: merkur

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