The German government has decided: More money for millions of Germans!

The coalition committee meeting lasted three quarters of an hour on Wednesday evening. At 18:45 we learned the result of the talks: the leaders of the SPD, FDP and Greens want financial relief for millions of Germans!

A coronavirus bonus, a heating allowance, a commuting allowance, an immediate allowance for poor children – soon millions of German residents will receive extra money.

The German government has decided on financial relief

Here’s what decisions have been made:

▶︎ Abolishing the EEG fee in the summer, thus reducing the cost of electricity! As electricity prices continue to rise, the fee is set to be abolished as early as July 1.  The EEG fee was intended to finance the development of renewable energy. It is defined in the Renewable Energy Sources Act (EEG). For a family of three with an electricity consumption of about 4,000 kilowatt hours, the VAT costs 194 euros and the EEG fee costs 309 euros per year.

▶︎ As fuel prices are also rising sharply, the commuting allowance (from the 21st kilometer) is to be increased by 8 cents, to 38 cents per kilometer.

▶︎ Coronavirus benefit for welfare recipients: people receiving social benefits such as Hartz IV or social assistance (Sozialhilfe) will receive a one-time coronavirus benefit of €100. Children in poverty are also to receive an immediate allowance of 20 euros per month. The plans are to start later this year and the money is to be paid until the basic child benefit (Kindergrundsicherung) is introduced.

▶︎ Coronavirus aid: The German government has passed the fourth Coronavirus tax aid law, which provides for a one-year extension of, among other things, the home office relief, the so-called “Home-Office” (max. €600/year). The coronavirus allowance for those working in care will remain tax-free, and the deadlines for filing tax returns will also be extended. And: The special provisions for Kurzarbeitergeld will be extended until June 30, 2022.

▶︎ Subsidy for heating costs: The support, which has already been decided by the German government, is to be quickly put into operation by the Bundestag. (135 euros housing allowance for singles, 175 euros for couples, 35 euros more per child. 115 euros will be given to students and apprentices who collect BAföG)


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