The first months – and sometimes years – after starting a business in Germany often mean an unstable income. If there are children in the family, the state provides a separate form of support: the Kinderzuschlag (a child supplement on top of Kindergeld). Here we explain who is entitled to it, how it is calculated for the self-employed and business owners, and how it relates to other support measures during the start-up (Gründung) phase.
New business owners in Germany rarely build a scenario into their business plan in which their own income is enough for themselves but not for the whole family. This is exactly the kind of situation the Kinderzuschlag is designed for – a supplement that exists separately from Kindergeld and is intended specifically for families with children and a low but real income. Whether that income comes from employment or from your own business makes no fundamental difference to entitlement.
The Kinderzuschlag is a monthly supplement to Kindergeld for families whose income covers the parents’ needs but not those of the whole family. In principle, the self-employed and owners of small businesses can also be entitled – provided their business income reaches a certain minimum threshold. Only the Familienkasse can give a definite answer for a specific situation after an application has been made.
What the Kinderzuschlag is and what it has to do with business owners
The Kinderzuschlag is governed by § 6a of the Federal Child Benefit Act (Bundeskindergeldgesetz, BKGG) and is paid by the Familienkasse at the Bundesagentur für Arbeit. It is intended for families who receive Kindergeld and generally manage their expenses, but lack the funds to support their children. From a legal point of view, it does not matter where the income comes from – a salary from employment or turnover from your own business.
This is particularly relevant for business owners: at the start, revenue is often unstable, and sometimes the first months pass with no income at all. During such a period, the Kinderzuschlag together with Wohngeld (housing benefit) can be an alternative to claiming Grundsicherungsgeld (formerly Bürgergeld) – in other words, it can allow the family to stay independent of basic income support while the business works towards stable revenue. For international families taking their first steps in self-employment after a period on benefits, this transition is particularly important.
The Kinderzuschlag should not be considered in isolation but together with other support instruments for starting a business – the Gründungszuschuss when leaving ALG I, Einstiegsgeld while receiving Grundsicherungsgeld and Wohngeld for the self-employed. Some of these benefits are mutually exclusive, others can be combined. A comparison is in the table below.
Who can generally be entitled
Entitlement to the Kinderzuschlag can arise when several conditions under § 6a BKGG are met at the same time. The final decision is always made individually by the Familienkasse, but the general logic is as follows:
- The family has at least one unmarried child under 25 for whom Kindergeld is received.
- The parents’ total gross income reaches a minimum threshold – as a rule €900 per month for a couple and €600 for a single parent. Income from self-employment, among other things, counts towards this.
- When your own income, Kindergeld, Kinderzuschlag and, if applicable, Wohngeld are added together, the family’s needs as a whole are covered – i.e. there is no need to claim Grundsicherungsgeld.
- Existing assets do not exceed the set thresholds (according to the Bundesagentur für Arbeit, generally €40,000 for the applicant and €15,000 for each additional family member).
Under § 6a Abs. 1a BKGG, in certain cases the Kinderzuschlag may also be available when a family is short of only a very small amount (in practice usually up to about €100) and has certain expenses related to employment or business activity. This rule is complex and should be discussed individually with the Familienkasse.
How much the Kinderzuschlag is in 2026
The amount is calculated individually and depends on the family’s income and the age and number of children. According to the Bundesagentur für Arbeit, the maximum amount in 2026 is up to €297 per child per month – unchanged from 2025. Because the amount is gradually reduced as the parents’ income rises, many families receive not the maximum but an intermediate amount.
Under § 6a Abs. 6 BKGG, the amount is reduced by 45% of the income above the set limit. Put simply, the payment decreases gradually as the family’s income rises rather than disappearing abruptly as soon as a threshold is exceeded. The most reliable way to find out the exact amount for your situation is the official calculator on arbeitsagentur.de or a personal consultation.
How income from self-employment and business ownership is calculated
Employees can usually prove their income easily with payslips. For the self-employed and business owners the procedure is more complex, but it follows a clear logic: as a rule, income is taken to be the actual business receipts minus the necessary expenses actually incurred during the assessment period – not the final taxable profit from the tax return, which often only becomes known much later.
The Familienkasse usually asks for details of income and expenses for the six months before the application, often on a separate form for income from self-employment. If the business has only just been started and there is not yet a full six-month history, tell the Familienkasse straight away – in such cases a calculation based on a forecast from the available data is usually used.
Because revenue at the start of a business often fluctuates strongly from month to month, keep careful records of income and expenses from the very beginning. This makes not only the Kinderzuschlag application easier, but also applications for Wohngeld, the Gründungszuschuss or, if necessary, additional Grundsicherung.
The Kinderzuschlag and other support measures: how they relate
The Kinderzuschlag, Wohngeld, the Gründungszuschuss and Grundsicherungsgeld (formerly Bürgergeld) work differently and count self-employed income differently. The table below is a simplified guide, not a substitute for individual advice.
| Benefit | Legal basis | How self-employed income is counted | Compatibility with other benefits |
|---|---|---|---|
| Kinderzuschlag | § 6a BKGG | Actual receipts minus actual expenses during the assessment period | Takes priority over Grundsicherungsgeld; can be combined with Wohngeld |
| Wohngeld | Wohngeldgesetz (WoGG) | Forecast profit under §§ 2, 4 EStG for the assessment period | Excludes receiving Grundsicherungsgeld; can be combined with the Kinderzuschlag |
| Gründungszuschuss | §§ 93 f. SGB III | Not income-dependent – a fixed supplement to the remaining ALG I | Granted at the employment agency’s discretion; does not automatically exclude the Kinderzuschlag |
| Grundsicherungsgeld (Bürgergeld) | SGB II | Receipts minus expenses, usually via the Anlage EKS form | Secondary to the Kinderzuschlag and Wohngeld if these cover the family’s needs |
In practice this means: before applying for Grundsicherungsgeld, families with children should often first check whether the Kinderzuschlag and Wohngeld together cover their needs. The Familienkasse and the Wohngeldstelle (housing benefit office) are legally obliged to point out such priority benefits – but it is better to explore all options actively rather than relying on a single application.
How to apply and for how long it is approved
The application for the Kinderzuschlag is made in writing or online via the Familienkasse at the Bundesagentur für Arbeit. Decisions are usually made for six months, after which a new application is generally needed using a simplified form.
- Prepare proof of income and, if you are self-employed, details of your business receipts and expenses for the last six months.
- Gather information on your housing costs – this matters for calculating the family’s needs and for the interaction with Wohngeld.
- If the business was started recently, say so explicitly and ask which income forecasting method applies in this situation.
- Keep an eye on deadlines: submit the follow-up application before the current period ends to avoid a gap in payments.
“At the start of a business, entrepreneurs with children often focus only on specific start-up support and overlook related family benefits. Looking at the Kinderzuschlag, Wohngeld and other instruments as a system helps you avoid missing out on support you are entitled to.”
Common mistakes business owners make when applying for the Kinderzuschlag
Mistake 1 – applying late: As a rule, the Kinderzuschlag is not paid retrospectively for the period before the application. If your income starts to fall, apply in good time.
Mistake 2 – confusing taxable profit with actual income: The Familienkasse usually looks at actual receipts and expenses during the assessment period, not the final annual profit from the tax return – confusing the two often leads to false expectations about the amount of the supplement.
Mistake 3 – Wohngeld not considered: If you apply only for the Kinderzuschlag without checking your entitlement to Wohngeld, your family risks missing out on additional support that could cover the rest of its needs.
Mistake 4 – incomplete business documents: Missing or incomplete proof of business income and expenses noticeably delays the processing of the application in practice.
Frequently asked questions
Can a self-employed person with an irregular income receive the Kinderzuschlag?
Does the Gründungszuschuss rule out entitlement to the Kinderzuschlag?
What should I do if my business income changes significantly during the payment period?
Does the Kinderzuschlag bring any benefits besides the payment itself?
Do self-employed parents get child benefit (Kindergeld)?
This article gives a general picture of the Kinderzuschlag and its significance for business owners with children. How exactly these rules apply to your situation depends on many individual factors. If you are planning to start a business in Germany, or have already taken the first step and want to get a systematic overview of the support available, you can book a personal consultation with Vitavia Akademie or join one of our education programmes. Together we can look at your specific situation and avoid costly mistakes in advance.
Book a consultationLegal notice: This article is for general information and educational purposes only and does not constitute individual legal, tax or financial advice. It does not replace advice from a tax adviser or lawyer or contacting the competent authority. Legislation and its application may change; the amounts and rules mentioned reflect the situation at the time of writing and should be checked against current official sources before making decisions. Every personal and family situation is different – before making important decisions, contact your Familienkasse, a qualified professional or seek individual advice. See also: Impressum and Datenschutz.
Sources
- Bundesagentur für Arbeit: Kinderzuschlag – Anspruch, Höhe, Dauer, arbeitsagentur.de
- Bundesagentur für Arbeit: Durchführungsanweisung Kinderzuschlag (DA-KiZ)
- Bundeskindergeldgesetz (BKGG), § 6a Kinderzuschlag, gesetze-im-internet.de
- Bundesagentur für Arbeit: increase in Kindergeld from 1 January 2026
- Familienportal des Bundes: Selbstständigkeit mit Kind, familienportal.de
