BAföG is Germany’s main student financial aid program. It supports university students, school pupils and apprentices.
Living costs have risen faster than BAföG rates. Student groups have long pushed for higher support.
Federal Research Minister Dorothee Bär presented the BAföG reform. Germany’s cabinet approved it on August 12, 2026.
The reform raises the maximum monthly student aid rate to €563. It also raises the housing allowance and eligibility thresholds.
The government calls it more digital and less bureaucratic.
NOTE: The Bundestag and Bundesrat must still approve the reform. That vote is expected in autumn 2026.
What changes in the housing allowance and basic rate
| Component | Current rate | New rate | Effective from |
|---|---|---|---|
| Housing allowance (Wohnkostenpauschale) | €380/month | €440/month | Summer semester 2027 |
| Basic need rate (Grundbedarf) | €475/month | €503/month | Winter semester 2027/28 |
| Basic need rate (Grundbedarf) | €503/month | €563/month | Summer semester 2029 |
The housing allowance rises by €60 a month. This covers rent for students living away from home.
The basic rate increases in two steps. It reaches €563 by summer 2029.
That final figure matches the basic income support (Grundsicherung) level. The government wants BAföG to track that benchmark moving forward.
NOTE: The housing increase was originally planned for winter semester 2026/27. Coalition budget talks pushed it back to summer 2027. Student unions criticized the delay.
Additional federal funding for these increases starts at €137 million in 2027. It rises to €355 million by 2030.
Income thresholds will rise automatically
Parental income thresholds are called Freibeträge in German. They set how much a family can earn.
From winter semester 2028/29, these thresholds rise every year. The increase is 1.5 percent annually.
This should stop inflation from eroding eligibility over time.
Health and long-term care insurance allowances rise too.
BAföG requires fewer requirements and a digital application process
The BAföG reform cuts red tape for students and caseworkers. Several rules change once the law takes effect.
- Proof of academic progress (Leistungsnachweis) is no longer required after the fifth semester
- Applications move to a fully digital BAföG Digital portal. The system checks new applications for missing documents on its own
- Some age-limit exceptions are dropped to simplify the rules
Who is eligible for BAföG as an international student?
This reform does not change the rules for foreign students. Existing eligibility categories stay the same for now.
- EU citizens with five or more years of residence or work in Germany
- EU citizens who are employed, self-employed, or close family of an EU worker
- Non-EU citizens holding a permanent settlement permit (Niederlassungserlaubnis)
- Non-EU citizens with recognized refugee or stateless status
NOTE: Regular non-EU student visa holders cannot get BAföG. Scholarships from DAAD or private foundations may be an alternative.
