What is Kindergeld?

When you have children, you can get €259 per month from the state.1 This is called Kindergeld. You don’t get it automatically; you must apply for it. If you don’t apply for Kindergeld, you get the Kinderfreibetrag instead.

Sometimes, Kindergeld makes more sense. Sometimes the Kinderfreibetrag makes more sense. It depends on your tax situation.

Sources and footnotes
  1. § 66 Abs. 1 EStG