SG Munich: Family allowance remains in place
Family benefits in an EU comparison: Bavarian family allowance may flow additionally
Parents who live in Bavaria but are also entitled to foreign family benefits are often faced with the question: Is the German family allowance offset against foreign payments or excluded? The Munich Social Court (SG) has now made an important decision on this – with good news for the families concerned.
The case: Bavarian family allowance and Austrian childcare allowance
The dispute concerned a family that received the flat-rate childcare allowance from Austria in addition to the Bavarian family allowance. The authorities rejected the claim to the German family allowance with reference to the so-called EU Coordination Regulation (Regulation (EC) No. 883/2004). Reason: There was a “double receipt” of comparable benefits – the German family allowance therefore had to take second place.
The verdict: No synchronization – no priority
The SG Munich ruled against this: The two benefits were not comparable. Such a comparison must be based on several criteria – such as the amount and calculation basis of the benefit, the duration of receipt, the access requirements and the overriding purpose. While the Austrian childcare allowance primarily serves to provide financial security, the Bavarian family allowance is an additional recognition of parental child-rearing efforts – regardless of income.
Consequence: No offsetting – full entitlement to both benefits
According to the court, the European priority rules do not apply due to these structural differences. In concrete terms, this means that families in Bavaria who receive the flat-rate Austrian childcare allowance are also entitled to the Bavarian family allowance – an exclusion of benefits is inadmissible.
Practical tip:
Anyone living near a border or applying for cross-border benefits should check carefully whether a “comparable” benefit actually exists. The ruling strengthens the legal position of many parents who previously only received limited benefits.
