Shift in Parental Allowance Patterns in Bavaria: Fewer Applications, Lower Allowances
Decreased Number of Application Submissions Corresponds with Reduced Parental Financial Assistance - Reduced app submissions result in decreased parental financial support
Let's delve into the numbers behind the parental allowance landscape in Bavaria. In 2023, the flow of parental allowance in the region amounted to approximately 1.317 billion euros. However, as per the annual report of the Center for Family and Social Affairs in Bavaria (ZBFS), this figure dropped slightly to 1.36 billion euros in 2022. The reason? A decline in births in the Free State.
During the same period, ZBFS handled 176,289 decisions for parental allowance applications compared to 192,165 in the previous year. This decrease correlated with the overall drop in parental allowance payments.
Five Billion on the Move
The parental allowance, a federal government-funded program, is designed to replace a portion of the salary for parents who temporarily cease or decrease their professional activities following the birth of a child. Yet, a salary cap exists. In 2024, the ZBFS, located in Bayreuth, distributed around five billion euros in transfer payments, encompassing funds from both federal and state governments. Alongside family benefits, funds are disbursed to victims of violence and other recipients.
Breaking the Dependency Chain
Parental allowance plays a significant role in diminishing financial dependence on others for mothers in Bavaria. Notable data from the microcensus indicates a shift towards self-earned income and parental allowance. Recently, it was reported by the State Office for Statistics that, among mothers aged 20 and over in partnerships, only 21 percent financed their living expenses predominantly through parents or partners in 2021, a significant decrease from 37 percent in 2009.
- Parental Allowance
- Bavaria
- Bayreuth
- Mothers
- To further bolster the financial independence of mothers in Bavaria, considering the decreased dependency on others, the community policy could explore opportunities for vocational training programs, enabling mothers to acquire new skills and re-enter the workforce.
- As the Bavarian government and ZBFS focus on promoting personal-finance management among parents, integrating health-and-wellness education in vocational training curricula could be beneficial, focusing on family-health and parenting skills to create well-rounded individuals capable of managing their finances effectively.
- In light of the growing emphasis on parental allowance and self-earned income, it would be advantageous to study the effectiveness of science-based vocational training programs designed to equip mothers with skills relevant to the current job market. These programs could contribute to lowering the allowance overhead, as an improved employment rate reduces the overall number of parental allowance applications.
