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Parental Allowance Reform: Shorter Duration, More Father Months

The German government plans to reform parental allowance: the maximum benefit period is to be reduced from 14 to 12 months, while the number of father months increases from two to three. This is according to a draft law obtained by Politico magazine.

Parental Allowance Reform: Shorter Duration, More Father Months
Photo: tagesspiegel.de

The German government plans to reform parental allowance: the maximum benefit period is to be reduced from 14 to 12 months, while the number of father months increases from two to three. This is according to a draft law obtained by Politico magazine.

According to a draft law reported by Politico magazine on Monday, the maximum benefit period for parental allowance is to be reduced from the current 14 to 12 months. At the same time, the number of so-called father months increases from two to three. Currently, parents can only use the full benefit period if one partner takes at least two months – usually the father.

The draft stipulates that in the future, three months will be reserved for each parent. The remaining six months can be flexibly divided between the parents. Single parents are exempt from this rule. Monthly payments are to increase slightly: the minimum amount from 300 to 330 euros, the maximum from 1,800 to 1,900 euros. The basic cap at 65 percent of net income remains.

Union and SPD had agreed in their coalition agreement to further develop parental allowance to create more incentives for a shared division of childcare. The reform is part of the government’s austerity measures.

Source: www.tagesspiegel.de