Germany’s parental leave system (Elterngeld and Elterngeldplus) is among the most generous in Europe. Most new parents in Germany do not fully understand their options. Here is how it works.
Elterngeld: The Basic Benefit
Elterngeld (parental allowance) pays 65–67% of your net income before the birth (up to a ceiling of €1,800/month, minimum €300/month for those not previously employed). The standard Elterngeld runs for 14 months between both parents — one parent can take all 14 months, or the months can be split between parents. The “partner months” rule: if the second partner takes at least 2 months, the total entitlement extends from 12 to 14 months. Many German parents use the pattern: one parent takes 12 months, the other takes 2 months = 14 months total benefit. Self-employed parents are also entitled to Elterngeld, calculated from the average income of the last 12 months’ tax assessments.
Elterngeldplus: The Extended Option
Elterngeld Plus (introduced 2015) allows parents to receive a lower monthly benefit over a longer period — each Elterngeld month can be “stretched” into two Elterngeldplus months at half the payment. Maximum with Elterngeldplus: 28 months if each parent takes 14 months in the Plus format, or combined approaches. For part-time workers who return to work after parental leave: Elterngeldplus makes more sense because it can be combined with part-time income without loss of benefit.
Parental Leave (Elternzeit) vs Parental Allowance (Elterngeld)
The legal right to take time off work (Elternzeit) is separate from the financial benefit (Elterngeld). Elternzeit gives employed parents the legal right to take up to 3 years of parental leave per child, with job protection — your position or an equivalent is guaranteed when you return. Elterngeld pays the financial benefit for the first 14 months. After 14 months of Elterngeld, there is no financial benefit, but you retain the legal right to Elternzeit until the child turns 3. Planning: Elterngeld is applied for separately from Elternzeit; the Elterngeld application should be submitted 3–7 months before the expected birth.
Practical Numbers
For a parent earning €4,000/month net: Elterngeld = approximately €2,600/month. For a parent earning €2,000/month net: Elterngeld = approximately €1,300/month. The €1,800 maximum applies regardless of income above the threshold. For parents who were not previously employed (new to Germany, career break): the minimum €300/month applies. Both parents can draw Elterngeld simultaneously in some configurations — check the Bundesfamilienministerium (Federal Ministry for Family Affairs) calculator at elterngeld-rechner.de for your specific situation.
