Social Assistance

Social assistance: two forms with different purposes

Social assistance distinguishes between assistance towards living costs and basic income support in old age and on reduced earning capacity. Assistance towards living costs is subsidiary to Book II of the Social Code for people who are capable of working and in need.

Basic income support under Section 41 SGB XII is available to people from the standard retirement age and to people aged 18 and over whose earning capacity is permanently fully reduced and where it is unlikely that this will change.

When capacity to work is in dispute

Whether a person is capable of working determines which book of the Social Code applies. That is precisely where disputes arise – closely bound up with the finding of reduced earning capacity and with claims to a pension.

The consequences are considerable: the competent authority, the level of benefits and the duties to cooperate all differ. Anyone who ends up in the wrong system loses time and frequently money as well.

What applies to foreign nationals

Section 23 SGB XII contains a separate rule. Holders of a settlement permit or of a temporary title with the prospect of permanent residence receive the benefits without these restrictions. For other groups, subsection 3 provides exclusions, for instance during the first three months of residence or where the right of residence arises solely from looking for work.

Bridging benefits take their place. They cover food, personal hygiene, accommodation and heating at a reasonable level, and the treatment of acute illness and pain, and are as a rule provided for no more than one month within two years.

Whether an exclusion applies depends on your residence status and, for EU citizens, on freedom of movement. This question is rarely clear-cut – and the authorities do not always answer it correctly.

What it means for your residence

For migrants, drawing benefits has a second consequence. It can stand in the way of extending your residence title and can endanger naturalisation. We examine both sides before an application is filed.

Frequently asked questions about social assistance

How does social assistance differ from citizen’s benefit?

Citizen’s benefit under Book II is for people capable of working, social assistance under Book XII for those who are not. Each system has its own authorities and its own rules.

Are assets taken into account?

Yes, income and assets must be used first. That distinguishes social assistance from unemployment benefit, which is an insurance benefit.

Does every benefit endanger my residence title?

No. It depends on the type of benefit and on the specific title. This question should be clarified before an application, not afterwards.