New citizen money - standard rate, sanctions, assets: This will change from January

Created: 09/16/2022, 10:52 am

By: Patricia Huber

Citizens' income is to replace the controversial Hartz IV in the future.

But what does that change?

The most important questions and answers at a glance.

Berlin – The citizen's income was approved by the Federal Cabinet.

The Hartz IV reform has thus cleared the first hurdle.

The approval of the Bundestag and Bundesrat is still pending.

However, the general conditions for the new edition of the help for the unemployed are clear.

Merkur.de clarifies the most important questions about citizen income.

1. When will the citizens' income come?

If the citizens' allowance is approved by the Bundestag and Council, the new law should come into force on January 1, 2023.

Then it will be implemented gradually.

2. Who gets the citizens' allowance?

Anyone who was previously entitled to unemployment benefit II or social benefit will also receive citizen benefit.

It is a basic security benefit for job seekers.

3. Does the citizen's income have to be applied for separately?

No, anyone who has already received Hartz IV does not have to apply for citizenship money next year.

4. How high is the citizen's income?

The standard rate of basic security should increase from 449 to 502 euros.

Adults living with partners receive 451 euros.

Young people aged 14 and over get 420 euros, children from 6 to 14 years 348 euros, under-6-year-olds 318 euros.

also read

Luxury life with a pension of 1000 euros: 74-year-old lives the dream

Putin's gas plan about to end: Russia's blackmail is unlikely to work

5. Will there be sanctions for citizens' income?

Those who do not cooperate with the job center should have fewer sanctions to fear with the citizen's income.

Such sanctions had already been suspended by law in advance.

Now the possibilities for reducing benefits in a six-month period of trust are to be severely restricted.

Payments should only be reduced in the event of missed appointments at the job center.

In the case of breaches of duty, such as not accepting reasonable work, there should be no more sanctions in the first six months.

Later, in the event of repeated breaches of duty and failure to report, a maximum of 30 percent of the standard requirement can be reduced.

Accommodation and heating costs are not reduced.

Furthermore, a de minimis limit of 50 euros is to be introduced for reclaims.

With the citizen's income changes something for welfare recipients.

© IMAGO/Christian Ohde

6. Is the rent paid for citizen income?

Yes, just like with Hartz IV, the rent is also paid for the citizen's income.

What is changing: The "appropriateness" of the size of the apartment no longer plays a role in the first two years of receipt when the citizen's income comes into effect.

With Hartz IV, only the costs for an apartment with the corresponding specifications were covered.

The same applies to heating costs in the future.

7. How high are the savings for citizen income?

As with housing, there is a two-year transitional period for assets.

Saved assets do not have to be used up during this period, unless they are significant assets.

This means 60,000 euros for the person entitled to benefits and 30,000 euros for each additional person in the household.

Our free Hartz IV newsletter informs you every Wednesday about new developments on the subject.

Sign up now!

8. What incentives to get back into the working world does the citizen's income provide?

Anyone who takes part in vocational training as a recipient of basic income or as a top-up person should receive 150 euros in training money from the job center.

If necessary, those affected can attend retraining in three years instead of the previous two years.

A bonus of 75 euros per month is to be introduced for participation in measures for sustainable integration.

Finding a job should no longer take precedence over further training.

9. Will bureaucracy also be reduced with the basic income?

According to the Federal Ministry of Labor and Social Affairs, yes.

On the one hand, the two-year transition period already mentioned should help here.

This reduces the effort already when submitting the application.

In addition, a de minimis limit for reclaims will be introduced.

This means that if you have received too much money from the job center, you do not have to pay it back as long as the amount is less than 50 euros.

10. What is criticized about citizen money?

There are clearly two camps when it comes to criticism of citizens' income.

Employers are of the opinion that the principle of "demanding" hardly exists anymore when it comes to Hartz IV successors.

Employer President Rainer Dulger criticized the plans as "a fatal milestone in terms of labor market policy".

"This does not build bridges into working life, but into the social transfer system," said Dulger.

The Union also voiced criticism.

CSU regional group chief Alexander Dobrindt told the

that the new regulations could lead to permanent benefits.

Social organizations see it very differently.

Above all, they complain about the amount of citizen money.

"The increase of 50 euros a month is just a long-overdue inflation adjustment that comes a year too late," said the president of the social association VdK, Verena Bentele.

According to DGB board member Anja Piel, a greater increase in the standard rates at the FDP has failed: "But the citizen's income retains the old flaw of the Hartz IV system: it does not effectively protect against poverty."