Single parents are often worse off financially than married couples. Therefore, they are financially supported by the state with a relief amount (Entlastungsbetrag). We explain what this means and how you can apply for it via the Taxfix app.
What is the relief amount for single parents?
If you are a single parent, you are entitled to a relief amount that reduces your tax burden.
To benefit from this relief, you should meet the following requirements:
- You are a single parent, i.e. you do not live in a household with another adult, such as a new partner. This also applies if you are solely responsible for the child. The only valid exception is for your own child who is over 18 but still entitled to child benefit because he or she is in education or studying
- Your child is registered with your main residence and actually lives there with you
- You are entitled to child benefit for your child. In the case of separated couples, only the person who is also entitled to or receives child benefit can benefit from the relief amount
Under the above-mentioned circumstances, you are also entitled to the relief amount if your child is cared for by both parents in an alternating model. If your child is cared for almost equally, the parents can decide between themselves who is entitled to the relief amount. If the parents do not decide on this, it will be paid to the parent who receives the child benefit.
How much is the relief amount?
The relief amount has been 1,908 euros per year since 2015. It was increased to 4,008 euros per year for the years 2020 and 2021. In addition, from the second child onwards, 240 euros are added for each additional child.
How do I apply for the relief amount?
To benefit from the relief amount, you have to apply for it. There are two ways to do this:
- You can claim it in your tax return. The relief amount reduces your taxable income and thus your tax burden. The tax office will reimburse you for the overpayment with the tax assessment notice. We explain below how to make the claim in the Taxfix app
- If you want to have the money available during the year and not wait until next year, you can apply to your tax office for an income tax reduction. This will put you in tax class II and the relief amount will already be taken into account in your monthly taxation via your employer. You will then pay less income tax and, if applicable, less church tax and solidarity surcharge. This increases your net salary
How do I apply for the relief amount for single parents in the Taxfix app?
You can enter details about your child, your living situation and whether you receive child benefit in the "Family" category. Simply click on the small question mark symbol in the questions to get more information and thus correctly record your individual living situation.
The app will automatically take the relief amount into account if you are entitled to it based on your information. In the overview of your tax calculation, it will be listed as "Relief for single parents".