The German government has drafted a law to automatically pay the child’s benefit (Kindergeld) into your bank account. You no longer have to apply for it.
The new law for automatic payment of Kindergeld will come into effect in 2027.
What Is Kindergeld?
Kindergeld is a monthly child benefit paid to all parents in Germany who are subject to German income tax. It doesn’t matter how much you earn. Every family gets it.
As of 2026, you get €259 per child per month in Kindergeld. Familienkasse (Family Benefits Office) is responsible for Kindergeld payment.
Currently, you must apply to your local Familienkasse to get Kindergeld. This results in around 300,000 Kindergeld applications every year. The new law will eliminate this bureaucracy.
How will the automatic payment of Kindergeld work?
- When your child is born, you register them at the registry office (Standesamt).
- The registry office notifies the Federal Central Tax Office (BZSt).
- The BZSt then automatically assigns a tax ID to your newborn.
- Under the new law, the BZSt will also notify the Familienkasse.
- Familienkasse will check if you qualify for the Kindergeld. If yes, Familienkasse will pay you Kindergeld without requiring you to apply manually.
The key requirement for this to work is that the government must already have the IBAN for at least one parent on file. If both parents’ IBANs are known, payments will go to the mother by default. You can change this afterwards.
If you have submitted your tax return and received a tax refund in the past, the government already has your IBAN. You can also submit your IBAN via the ELSTER portal.
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Automatic Kindergeld payment will be launched in two phases
- Phase 1 (March 2027): Parents who already receive Kindergeld for at least one existing child will automatically receive payments for any newborn. The money will go to the parent already receiving Kindergeld for the existing child.
- Phase 2 (November 2027): Parents welcoming their first child can also receive Kindergeld automatically. However, you must fulfill the following requirements.
- At least one parent lives with the child in Germany
- The government has the IBAN of at least one parent.
- At least one parent works in Germany.
Some people still have to apply for the Kindergeld
The automatic system covers most standard cases, but not all. You will still need to submit an application if you fall in one of the following categories.
- You are receiving Bürgergeld (basic income support) and are expecting your first child.
- You live abroad but are subject to unlimited German income tax liability.
The Familienkasse will send you a welcome letter with a QR code linking to a pre-filled application. You just fill in the remaining gaps and submit.
The same applies to Kindergeld for children over 18 who are still in education or vocational training. You will still need to provide proof of their enrollment.
You can find more details about the draft law on the Bundesfinanzministerium website.
