New regulation on parental leave benefit: Income limit further reduced

From April, new regulations for parental leave benefit will apply. Originally, couples had an income limit of 500,000 euros, and single parents of 250,000 euros. Since 2021, this limit has been lowered multiple times. From this month, there will be a further reduction. A uniform limit of 175,000 euros will apply – for both couples and single parents. So, those who earn more will no longer receive parental leave benefit. The federal government expects significant savings from the cuts. It is estimated that around 250 million euros per year will be saved. According to estimates from the Federal Ministry for Family Affairs, in 2025 around 20,000 couples will no longer receive parental leave benefit.