Elterngeld reform: draft cuts benefit to 12 months while raising minimum and maximum payments
Draft shortens Elterngeld to 12 months, increases minimum to €330 and maximum to €1,900, and introduces parental-month requirements and Mutterschutz limits.
Germany’s proposed Elterngeld reform would reduce the maximum payment period from 14 to 12 months while raising the minimum monthly payment from €300 to €330 and the cap from €1,800 to €1,900, according to a draft circulated by the Federal Ministry for Family Affairs. The draft, prepared under Minister Karin Prien, would require each parent to take at least three months of leave to qualify for the full 12 months of Elterngeld, and it remains under inter-ministerial review. The ministry confirmed elements of the proposal to dpa, and a summary of the draft has been reported by Politico.
Draft shortens Elterngeld entitlement
The bill text proposes a concrete reduction in the duration of Elterngeld payments, cutting the current possible entitlement from 14 months down to 12 months. Under the new arrangement, couples would only receive the full 12 months if both parents take a minimum of three months each away from work. The change aims to reallocate months to strengthen incentives for shared caregiving while reducing the overall entitlement period.
Allocation rules and single-parent provision
According to the draft, three months would be reserved for each parent, with an additional six months distributed flexibly between them. That structure is intended to encourage greater paternal participation by designating months that cannot be transferred. Single parents would remain eligible for up to 12 months of full Elterngeld, preserving the current protection for households without a co-parent.
Mutterschutz employment restrictions limited to 12 months
The draft also contains a modification to the Mutterschutzgesetz that would confine certain employment bans related to breastfeeding to the first 12 months after birth. Currently several provisions apply for as long as a mother breastfeeds, including prohibitions on night work and work on Sundays and public holidays in specific circumstances. The amendment would standardize and limit those workplace protections to a defined one-year period following delivery.
Financial levels and eligibility thresholds
Finance-related changes in the proposal include a rise in the legal minimum monthly Elterngeld payment from €300 to €330 and an increase in the cap from €1,800 to €1,900. The draft reiterates the existing income ceiling for eligibility set for births on or after April 1, 2025, at €175,000. For the current fiscal year, the federal government plans roughly €7.5 billion for Elterngeld, figures that the ministry cited when outlining the proposal’s budgetary context.
Budget constraints and ministerial savings target
Minister Karin Prien is facing a mandated savings target of about €500 million in her family affairs budget next year, a factor that officials say underpins the proposed adjustments. Prien previously signaled openness to raising the minimum and maximum payments while shortening the duration of the benefit, and the current draft reflects that balancing act. The ministry’s choice to preserve the income threshold rather than reduce it aligns with earlier public statements that wealthier households should not be wholly excluded from the scheme.
Coalition agreement and political context
The proposed changes echo language in the 2025 coalition agreement between the Union and SPD, which pledged to develop Elterngeld to promote greater partnership in caregiving, especially by increasing fathers’ involvement. The coalition document specifically cited adjustments to payment months and higher wage-replacement rates as tools to achieve more balanced parental responsibility. Lawmakers and advocacy groups will likely scrutinize whether the draft’s mix of duration cuts and higher payment levels achieves the coalition’s stated aim.
The draft now moves through the formal process of internal government consultation before any bill is presented to the Bundestag, leaving room for amendments and political negotiation. Stakeholders from employers’ groups, unions, parent associations and women’s organizations are expected to respond to the proposed Mutterschutz changes and the revised parental-leave structure. Public debate is likely to focus on whether the trade-off between a shorter entitlement period and higher monthly payments will alter family choices about work and care.
Decisions on the draft will carry budgetary and social-policy implications ahead of next year’s fiscal plans, and MPs from coalition partners and the opposition will shape the final legislative text. Observers say key questions will include the enforceability of the three-month per-parent requirement, the scope of the Mutterschutz limits for breastfeeding mothers, and how the revised payment floors and ceilings affect low- and middle-income households.
