Germany’s most expensive Family Benefits hurting the State and the Family

1. Ehegattensplitting

Costs approximately €20billion annually
The idea is to ensure no family gets over-taxed. The couple’s income is summed up, divided in half then taxed. The larger the differences in income, the lower the tax the couple pays.This is a great benefit especially to single income families, because if you do your Tax declaration (Steuererklärung) correctly, a couple can save upto €15000 a year.The whole idea was to encourage women to stay home and take care of kids but on further investigation this hasn’t helped many families in the long run thus encouraging poverty after retirement for most of these couples.

2. Kindergeld
Costs approximately €40billion a year
Every family regardless of status receives €184 monthly for the first and second child; €190 for the third and €215 for any additional children.
This was also a bonus to encourage women from the middle and high class to stay home and take care of the kids. But on further investigation it has shown that the birth rate hasn’t increased in these two groups (middle and high class) and that it instead tends to encourage women with little to no academic qualifications to have children.

3. Beitragsfreie mitversicherung in the health Insurance
Costs approximately €27 billion a year
If a spouse has public health insurance and pays the monthly sum then the other spouse as well as the kids are automatically also insured under the same without any additional costs.
This is a great idea to ensure that close family members are all ensured at minimal costs while providing universal healthcare but it has proven that women tend to use this as an excuse never to work or only to take up mini-jobs.

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