Deadline for child benefit extended

Due to delays in the Corona crisis, families have three months longer to submit a building permit or a purchase contract in order to receive state funding. 260,000 families have already applied for the grant.

A house is being built thanks to government funding.

Dhe federal government has extended the deadline for child benefit by three months. It is no longer valid until the end of this year, but until the end of March. This means that anyone who receives a building permit or buys a property by March 31, 2021 can apply for the benefit. The background to this is the corona pandemic, which has delayed the issuing of building permits and the signing of purchase contracts in some cases. The application for funding can still be submitted until the end of 2023. This deadline remains unchanged.

As the Federal Ministry of the Interior announced on Wednesday, around 260,500 families had applied for funding for their own four walls by the end of August 2020. As a result, funds of around 5.5 billion euros are committed for the Baukindergeld, which was introduced two years ago, according to the information.

Since September 18, 2018, families have been able to receive state subsidies to build a house or buy a property. There are 12,000 euros per child, paid out in ten annual installments of 1200 euros each. A total of 9.9 billion euros are available.

The performance was criticized again and again, for example that it continues to cheer real estate prices or that families benefit who actually do not need the money. According to data from KfW Bankengruppe, around 60 percent of recipients have an average taxable household income of no more than 40,000 euros per year. The upper limit is 90,000 euros for one child and 15,000 euros higher for each additional child.