Ökonomische Aspekte der Kindergrundsicherung

Towards the end of 2023, the German Federal Government introduced the Kindergrundsicherung (basic child benefits) into the legislative process. This short article addresses some economic aspects of the reform. First, the basic mechanics of the reform are presented, which combines the benefits of the Bürgergeld (social assistance) for children and the Kinderzuschlag (child supplement). Subsequently, the reform’s effects on monthly available incomes of different model households are presented. Finally, we consider possible fiscal impacts of the reform.

Microsimulation models from the ifo, IZA, and ZEW are used to illustrate and simulate the child basic security (see Buhlmann et al. 2022 and Blömer/Peichl 2020). In addition, the open-source and free microsimulation model GETTSIM is used as a comparison model. Extrapolations to the total population are based on the Socio-Economic Panel (SOEP).

Hebsaker, Michael, Holger Stichnoth, Hans-Martin von Gaudecker and Maximilian Joseph Blömer (2024), Ökonomische Aspekte der Kindergrundsicherung, Sozialer Fortschritt 73(4) , 281-300