Housing Costs in Bürgergeld

Housing costs (KdU) represent the second important component of Bürgergeld alongside the standard rate. Unlike the standard rate, KdU are not granted as a lump sum but in their actual amount - provided they are considered reasonable. This article explains in detail which housing costs are covered and what to consider.

What Belongs to Housing Costs?

Housing costs include all expenses related to accommodation:

For Rental Housing

Base rent/Cold rent
Cold operating costs such as:
- Property tax
- Water supply
- Sewage disposal
- Garbage collection
- Stairwell cleaning
- Janitor costs
- Elevator costs
- Street cleaning
- Winter service
- Building insurance
- Chimney sweep
- Garden maintenance
- Lighting of common areas
- Antenna or cable fees (if billed through landlord)
Heating costs including hot water preparation (if centrally generated)

For Owned Property

Principal and interest (in reasonable amount)
Housing fees for condominiums
Property tax
Building insurance
Operating costs (similar to rental housing)
Heating costs
Unavoidable expenses for maintenance and repair

The Grace Period: Special Regulations in the First 12 Months

An important innovation of Bürgergeld is the so-called grace period. In the first 12 months of benefit receipt, the actual housing costs are recognized - even if they exceed local reasonableness limits.

This regulation is intended to prevent people in an already difficult situation from being immediately confronted with a move. It gives benefit recipients time to focus on their professional situation or adjust their housing situation calmly.

What Does the Grace Period Mean Specifically?

Actual costs are recognized for 12 months from the start of benefit receipt
The grace period only applies to first-time applications or after at least two years of interruption in benefit receipt
For moves during the grace period, regular reasonableness rules apply to the new apartment
After the grace period expires, regular reasonableness review applies

Reasonableness of Housing Costs

After the grace period expires, housing costs are only covered in a reasonable amount. Reasonableness is assessed based on two criteria:

1. Reasonable Apartment Size

The following apartment sizes are considered reasonable:

45-50 m² for one person
60 m² for two persons
75 m² for three persons
85-90 m² for four persons
15 m² per additional person

For owner-occupied property, the following generally applies:

Condominium: up to 130 m²
Single-family house: up to 140 m²

2. Reasonable Costs

Reasonable costs are determined locally and are based on local rent levels. They therefore vary greatly depending on location. They are usually determined based on:

Local rent indexes
Housing benefit tables
Municipalities’ own concepts (“Coherent Concept”)

Example of reasonable costs (including operating costs, excluding heating costs):

City/Region	1 Person	2 Persons	3 Persons	4 Persons
Munich	781 €	958 €	1,123 €	1,281 €
Berlin	426 €	515 €	634 €	713 €
Hamburg	543 €	659 €	780 €	940 €
Cologne	651 €	780 €	916 €	1,053 €
Rural area (example)	386 €	466 €	544 €	622 €

Note: These are example values. Actual reasonableness limits may vary and are set by local Jobcenters.

Reasonableness of Heating Costs

Heating costs must also be reasonable. Usually the following serve as guidance:

The nationwide heating index
Local comparison values
Municipal provider guidelines

Usually some leeway is granted to account for different factors (building age, insulation, individual heating habits).

What Happens with Unreasonable Costs?

If your housing costs are classified as unreasonable after the grace period expires, the following procedure applies:

Cost reduction request: The Jobcenter requests you to reduce costs (e.g., through subletting, negotiation with landlord, or moving)
Transition period: You usually receive 6 months to reduce costs
After the transition period: If cost reduction fails, only reasonable costs are covered; you must cover the difference from the standard rate

Special Hardship Cases

In certain situations, higher costs can also be covered if a move is not reasonable, e.g., in case of:

Serious illness or disability
Care of relatives nearby
Single parents with school-age children
Upcoming employment (within the next 6 months)
Short remaining duration of Bürgergeld receipt
Long-term residence (especially for older people)

Such hardship cases must be claimed and proven individually at the Jobcenter.

Moving During Benefit Receipt

If you want to move during Bürgergeld receipt, special rules apply:

Before Moving: Obtain Assurance

Before signing a new rental contract, you should definitely obtain assurance from the Jobcenter. The Jobcenter then checks:

Whether the move is necessary
Whether the costs of the new apartment are reasonable

Assurance is to be granted in the following cases:

The current apartment is too small
Health reasons require a move
The move enables taking up work
Family reasons make the move necessary
Similarly serious reasons exist

Moving Costs and Housing Acquisition Costs

If the move is necessary and the Jobcenter has agreed, the following costs can be covered:

Moving costs (van, movers, boxes)
Rental deposit/Cooperative shares (as loan)
Double rent for one month in exceptional cases
Housing acquisition costs (e.g., broker commission, if unavoidable)
Renovation costs (to the extent contractually required)

Moving Without Assurance

If you move without prior assurance, you risk that:

For the new apartment, only the previous costs are covered
Moving costs and housing acquisition costs are not reimbursed
For those under 25, possibly no costs for the new apartment are covered at all

Special Housing Forms

Subletting Arrangements

For subletting arrangements, actual costs up to the reasonableness limit are covered. A written sublease agreement specifying all costs is required.

Shared Housing

For shared housing (without joint benefit community), costs are divided according to the number of residents, unless the rental contract specifies otherwise.

Living with Parents/Relatives

If you live with your parents or relatives and pay rent, this must be proven by a written rental contract. The Jobcenter checks such rental arrangements particularly carefully for their seriousness.

Homelessness

Even in case of homelessness, a claim for coverage of accommodation costs can exist, e.g., for emergency accommodation or a room in a boarding house.

Heating Costs and Hot Water

Heating Costs

Heating costs are usually fully covered, provided they are reasonable. Heating costs that are significantly above the comparison values of the heating index without special reasons are considered unreasonable.

Hot Water

Central hot water preparation: Costs are fully covered with heating costs
Decentralized hot water preparation (e.g., boiler, instantaneous water heater): An additional need is paid to the standard rate:
- 2.3% of the standard rate for single persons
- 2.3% of the standard rate for couples per partner
- 0.8-1.2% of the standard rate for children depending on age group

Additional Payments and Credits

Additional payments from annual statements are covered to the extent they fall on reasonable costs and did not arise from uneconomical behavior
Credits are counted as income in the following month to the extent they do not fall on self-paid portions

Owner-Occupied Property

Special regulations apply to owner-occupied property:

Can Be Covered

Debt interest (but not principal in regular calculation)
Property tax
Mandatory insurance (e.g., building, household contents, and liability insurance)
Operating costs (as with rental housing)
Heating costs
Unavoidable maintenance and repair costs

Special Features

During the grace period, reasonable principal payments are also covered
After the grace period, principal payments are only covered if otherwise loss of property threatens and costs are not higher than for a reasonable rental apartment
Larger repairs must be applied for in advance and approved by the Jobcenter

Practical Tips on Housing Costs

1. Submit Complete Documentation

Submit all required documents completely:

Rental contract
Last operating cost statement
Proof of ongoing rent payments
For property: Documentation of all costs

2. Check Cost Reduction Request

If you are asked to reduce your housing costs:

Check whether the reasonableness limit was calculated correctly
Claim special circumstances that make a move unreasonable
Check possibilities for cost reduction (subletting, negotiation with landlord)

3. For Intended Move

Always obtain assurance from the Jobcenter before signing a new rental contract
Clarify in advance which moving costs are covered
Apply for a loan for the deposit in time

4. Save Energy

Use energy saving consultations (often offered free of charge)
Avoid unreasonably high heating costs, as these are not covered

Conclusion

Housing costs are an essential component of Bürgergeld. The regulations are complex and vary depending on local conditions. The grace period provides special protection in the first 12 months of benefit receipt, after which reasonableness limits apply.

For questions about your individual housing situation, we recommend visiting a counseling center or contacting your Jobcenter directly.

Note: Reasonableness limits vary considerably depending on location. Inquire with your local Jobcenter about the exact limits for your region.