Income adjustment
Under income adjustment in the SGB II refers to the determination of the chargeable income of unemployment benefits -Empfängers. Certain deductions and exemptions specified in Section 11b of SGB II are deducted from income in accordance with Section 11 (1) SGB II . The income "adjusted" for these amounts is then the income that is offset against the entitlement to ALG II. Alg II-V specifies details about the time of the inflow and the flat-rate deduction amounts .
The amount of the adjusted income reduces the need for assistance and is therefore decisive for the calculation of the ALG II entitlement.
Amounts to be deducted
According to Section 11b (1) SGB II, the following are deductible from income:
- taxes paid on income
- Compulsory social security contributions (health, long-term care, unemployment and pension insurance)
- other appropriate statutory insurance contributions, in particular contributions for private health insurance and private pension schemes. (A lump sum of 30 euros is taken into account here, Section 6 Paragraph 1 Point 1 Alg II-V)
- Contributions to the Riester pension , provided that the minimum personal contribution according to § 86 EStG is not exceeded
- the necessary expenses associated with earning income, in particular contributions for motor vehicle liability insurance or, when using local public transport, the costs for a monthly ticket. (When using a car, 0.20 euros per kilometer for the shortest route are taken into account as travel costs.)
- Expenses for the fulfillment of statutory maintenance obligations up to the amount specified in a maintenance title or in a notarized maintenance agreement. The maintenance must actually be paid. The deduction applies regardless of whether the income can be legally seized, nor is the beneficiary obliged to apply to the family court for a change in the maintenance title in his favor.
- in the case of employable beneficiaries whose income is used for a child who receives vocational training allowance or benefits according to Bafög , the amount taken into account in the calculation.
Special features of earned income
Special rules apply to employable beneficiaries who receive income from gainful employment. Instead of the amounts mentioned in points 3, 4 and 5, there is a basic allowance of 100 euros. However, if the gross monthly income is higher than 400 euros, the employed person can also claim the actual costs. Income from employment also includes insolvency benefits and short-time working benefits, but not other earnings replacement benefits such as unemployment benefits or sick pay.
If the employed person receives a tax-free allowance for voluntary work, a basic allowance of 200 euros applies. (Section 11b (2) SGB II) If income from gainful employment and voluntary work come together, an allowance of up to 100 euros (totaling 200 euros) is not offset in addition to the basic tax allowance of 100 euros for gainful employment.
In addition, according to Section 11b (3) of the Second Book of the Social Code (SGB II), there is a tax-free allowance based on the gross income:
- Of the part of the income that is between 100 and 1000 euros, 20 percent is not taken into account.
- Of the part of the income that is between 1000 and 1200 euros, 10 percent is not taken into account. If the employed person has their own underage child or if an underage child lives in their community of needs (including someone else's), 10 percent of the part of the income that is between 1000 and 1500 euros is not taken into account instead.
- Example (2015)
Example of an income adjustment valid for approval periods from July 1, 2011 with a fictitious gross earned income of 1500 € for a recipient of unemployment benefit II with tax class III and at least one minor child - according to Alg II-V in the current version.
| Gross earned income | 1500.00 euros |
| Net earned income | 1196.62 euros |
| Exemption according to § 11b SGB II | 330.00 euros |
| - of which according to paragraph 2 sentence 1 | 100.00 euros |
| - of which according to paragraph 3 number 1 | 180.00 euros |
| - of which according to paragraph 3 number 2 | 50.00 euros |
| Qualifying earned income | 866.62 euros |
The basic tax-free allowance is not available to non-employable beneficiaries who receive social benefits and receive income from non-self-employed work. This represents an unintended loophole and therefore the social welfare accounting rules must be applied to this group of people .
Regulation from October 1, 2005 to June 30, 2011
Example of an income adjustment valid for approval periods from October 1, 2005 with a fictitious gross earned income of € 900.00 - according to Alg II-V i. d. F. of August 22, 2005.
| Net earned income | 555.76 euros |
| Less contribution to motor vehicle liability insurance § 11 Paragraph 2 Sentence 1 No. 3 SGB II | 70.50 euros |
| Less lump sum for insurance § 6 Paragraph 1 No. 1 Alg II-V | 30.00 euros |
| less flat rate for advertising expenses, § 6 Paragraph 1 No. 3a Alg II-V | 15.33 euros |
| minus travel costs § 6 paragraph 1 number 3b last HS Alg II-V (for 24 km) | 91.20 euros |
| Less tax allowance according to § 11 Paragraph 2 Sentence 1 No. 6, § 30 No. 1 SGB II | 140.00 euros |
| Less tax allowance according to § 11 Paragraph 2 Sentence 1 No. 6, § 30 No. 2 Sentence 3 SGB II | 10.00 euros |
| Qualifying earned income | 198.73 euros |
Since the costs for motor vehicle liability insurance, flat-rate income for business expenses, travel expenses and flat-rate insurance are over EUR 100 and the monthly income is higher than EUR 400, not only EUR 100 as a basic allowance, but the actual business expenses are deducted from income - cf. also Section 11b (2) sentence 2 SGB II.
Regulation until September 30, 2005
Example of an income adjustment with a fictitious gross earned income of € 2,741.65 - according to the old ALG II regulation valid until September 30, 2005.
| Net earned income | 1500.00 euros |
| minus the amount of motor vehicle liability insurance in accordance with Section 11 (2) No. 3 SGB II | 50.00 euros |
| Less lump sum for insurance § 3 No. 1 ALG II-V | 30.00 euros |
| less flat rate for advertising expenses, § 3 no.3a aa ALG II-V | 15.33 euros |
| Less tax deduction according to Section 11, Paragraph 2, Number 6, Section 30 of SGB II | 153.70 euros |
| Qualifying earned income | 1250.97 euros |
Individual evidence
- ↑ BSG, September 30, 2008, AZ B 4 AS 57/07 R
- ↑ BSG, November 9, 2010, AZ B 4 AS 78/10 R
- ^ BSG, May 13, 2009, AZ B 4 AS 29/08 R
- ^ BSG, March 14, 2012, AZ B 14 AS 18/11 R
- ^ BSG, September 27, 2011, AZ B 4 AS 180/10 R
- ↑ BSG, October 28, 2014, AZ B 14 AS 61/13 R
- ^ BSG, November 24, 2011, AZ B 14 AS 201/10 R
