Parental Leave in Germany: Financial Guide

Understanding Your Elterngeld Options

There are three Elterngeld variants you can combine:

Basiselterngeld (Basic Parental Allowance)

• Amount: 65-67% of net income
• Minimum: €300/month
• Maximum: €1,800/month
• Duration: 12 months (+ 2 partner months)

The "classic" Elterngeld. One parent stays home and receives 65-67% of their net income.

ElterngeldPlus

• Amount: Up to 50% of Basiselterngeld
• Duration: Twice as long (2 months = 4 months of Plus)

Ideal if you're returning to work part-time: you receive Elterngeld for longer and can earn a salary alongside it. Your pay is offset against it, but overall you often end up with more money.

Partnerschaftsbonus (Partnership Bonus)

• Requirement: Both partners work 24-32h/week for 4 months at the same time
• Bonus: 4 additional months of ElterngeldPlus per parent

Optimal Split Between Parents

How you split parental leave between parents has a major financial impact. Here are a few strategies:

Classic: 12+2

One parent takes 12 months, the other takes 2. The minimum for the partner months is 2 — if nobody takes them, they're forfeited.

Split: 7+7 or 6+8

Both parents share the time more evenly. This is financially interesting if both earn similar incomes. The higher earner should take the shorter break.

Extending with ElterngeldPlus

Example: Parent A takes 6 months of Basiselterngeld, then 12 months of ElterngeldPlus while working part-time. Parent B takes 2 months of Basiselterngeld. Result: 20 months covered, with both parents working at different times.

The Insider Tip: Split Up the Months

You don't have to take consecutive months! Parent A takes months 1-6, Parent B takes months 7-8, then A again for months 9-14 (ElterngeldPlus). This way, the child is cared for over a longer period.

Side Income During Parental Leave

Working part-time during parental leave is possible and often makes sense. But there are rules:

The Working Hours Limit

You may work a maximum of 32 hours per week (for children born from September 2021 onward; previously 30 hours). Beyond that, your Elterngeld entitlement for that month is forfeited.

How Is Side Income Offset?

With Basiselterngeld: your new net income is subtracted from your previous net income, and you receive 65-67% of the remainder as Elterngeld. The more you earn, the less Elterngeld you get.

With ElterngeldPlus: Elterngeld is paid up to half of the full amount you'd get without any side income. If you earn as much working part-time as you did before, you still get ElterngeldPlus — a clear advantage!

Additional Benefits

Besides Elterngeld, there's additional support available:

Kindergeld (Child Benefit)

€259/month per child (2026). Paid independently of Elterngeld and not offset against it.

Kinderzuschlag (Child Supplement)

For low-income families, up to an additional €292/child. Condition: your income covers your own needs but not those of your children.

Mutterschaftsgeld (Maternity Pay)

For 6 weeks before and 8 weeks after the birth, your health insurance pays €13/day, and your employer tops it up to your full net salary. Mutterschaftsgeld is offset against Elterngeld.

Geschwisterbonus (Sibling Bonus)

If you already have a child under 3 (or two under 6), you get 10% more Elterngeld, with a minimum of an extra €75.

Returning to Work

Parental leave can put a dent in your career — but it doesn't have to. Here's how to plan your return:

Your Right to Part-Time Work

During parental leave, you have a right to part-time work with your existing employer (15-32 hours) if the company has more than 15 employees and you've worked there for at least 6 months.

Brückenteilzeit (Bridge Part-Time)

After parental leave, you can switch to part-time for 1-5 years and are then entitled to return to your previous hours (at companies with more than 45 employees).

Tips for a Smooth Return

• Stay in touch with your employer during parental leave
• Take advantage of parent-child offices or work-from-home options
• Plan childcare early (daycare waiting lists!)
• Consider starting with fewer hours and increasing them later

Parental Leave Checklist

1. Pregnancy confirmed: Inform your employer (for dismissal protection)
2. 3-4 months before birth: Run the numbers on your Elterngeld options with the Elterngeld calculator
3. 7 weeks before parental leave: Apply for Elternzeit with your employer (in writing!)
4. After the birth: Apply for the birth certificate
5. Within 3 months of the birth: Apply for Elterngeld at your local Elterngeldstelle
6. Apply for Kindergeld: At the Familienkasse
7. Check Kinderzuschlag: Check your entitlement with the Kinderzuschlag calculator
8. Plan childcare: Look for a daycare spot early

Frequently Asked Questions About Parental Leave