Has the German Family Fund (Familienkasse) demanded a refund for child benefits already paid to you? You are not alone. In 2026, intensified data exchange between EU countries has led to a surge in repayment demands. This guide explains why this happens and how you can protect your family’s finances.
What is a Kindergeld Repayment Demand?
A Kindergeld refund (Rückforderung) occurs when the Familienkasse determines that you were ineligible for the benefits during a period when you were already paid.
- Current Rate (2026): €259 per month, per child.
- No Statute of Limitations: Because Kindergeld is governed by German tax law, the authorities can audit your case several years back. There is virtually no “expiration date” for these debts.
Why is the Familienkasse Demanding Money Back?
1. Conflict of Benefits (EU Coordination)
This is the most common reason for international workers. If you work in Germany but your partner/children live in another EU country, the “Priority Rule” applies:
- Priority: Usually the country where the child lives and a parent works.
- Differential Amount: If the German benefit is higher than your home country’s benefit, Germany pays the difference.
- The Problem: If you received the full German amount while your home country also paid (or should have paid) a benefit, Germany will demand a refund for the overlapping amount.
2. Failure to Cooperate (The “Silence” Trap)
The Familienkasse (especially Familienkasse Sachsen) regularly sends out eligibility questionnaires.
- If you move and don’t update your address, or if you simply ignore the letter, the office will stop payments and demand a refund for the entire duration of the benefit, assuming you left Germany.
3. Failure to Report Changes within 30 Days
You are legally obligated to report changes within one month, including:
- Changing or losing your job.
- The other parent starting/stopping work in another country.
- Divorce or separation.
- A child finishing school or turning 18.
4. Children Aged 18–25
Benefits for adult children require annual proof of education (school or university enrollment). If you fail to provide this certificate, the Familienkasse will immediately demand a refund for the current academic year.
How Much Could You Owe? (Example Estimates)
| Number of Children | 2 Years of Repayment | 5 Years of Repayment |
| 1 Child | ~ €6,216 | ~ €15,540 |
| 2 Children | ~ €12,432 | ~ €31,080 |
| 3 Children | ~ €18,648 | ~ €46,620 |
Note: Interest (approx. 6% annually) and enforcement fees may be added to the principal amount.
Critical Mistakes to Avoid
- MISTAKE 1: Asking for installments immediately. Requesting a payment plan is a legal admission of the debt. If the refund demand is actually incorrect, it becomes very difficult to challenge once you’ve agreed to pay in installments.
- MISTAKE 2: Asking for a “Waiver.” The Familienkasse is not a social welfare office; they operate under tax law. They almost never waive debts based on “goodwill.”
- MISTAKE 3: Ignoring the letter. If the 1-month appeal deadline passes, the decision becomes final. German authorities can (and will) freeze bank accounts in other EU countries through cross-border tax enforcement.
- MISTAKE 4: Arguing “Statute of Limitations.” As mentioned, tax-related claims in Germany have very long reach. Arguing that the debt is “too old” is rarely successful.
Step-by-Step Action Plan
Step 1: Stay Calm and Verify the Deadline
Check the date on the letter. You usually have exactly one month from the day you received it to file an appeal (Widerspruch).
Step 2: Determine if the Demand is Justified
Ask yourself:
- Was the other parent working in another country during this time?
- Did you receive any foreign child benefits (e.g., Polish 800+, Romanian Alocația)?
- Did you respond to all previous questionnaires?
- Was the child still in school?
Step 3: Collect Evidence
Gather your employment contracts, foreign benefit statements, and school certificates. If the refund is due to “coordination,” contact your home country’s social security office immediately to get a statement of benefits paid.
Step 4: File the Appeal (Widerspruch)
If you believe the demand is wrong (even partially), you must file a formal appeal in German. To be valid, your appeal must include:
- Your Kindergeldnummer and the Aktenzeichen (case number).
- A clear statement that you are appealing the specific decision dated [Date].
- Specific Evidence: Do not just say “I don’t agree.” You must state why (e.g., “My spouse was not working in our home country during 2024, therefore Germany has primary responsibility”).
Strategic Advantage: Retroactive Claims in Your Home Country
If Germany is legally correct in demanding a refund because your home country had “Priority,” you may be able to claim the home country’s benefit retroactively. * Under EU law, an application for Kindergeld in Germany is often considered a “simultaneous application” in your home country.
- Even if several years have passed, you can often recover thousands of Euros from your home country’s system to pay off the German debt.
10 Golden Rules for the Future
- Always reply to the Familienkasse, even if you think the letter doesn’t apply to you.
- Report changes within 30 days (address, job, marital status).
- Keep all correspondence for at least 10 years.
- Adult children: Submit school certificates every September without being asked.
- Cross-border commuters: Keep proof of your spouse’s employment status in your home country.
- Digital updates: Update your contact details immediately if you move.
- Professional activity is not just work: Remember that even “social insurance for farmers” or “unemployment status” can trigger coordination rules.
- Don’t guess: If you don’t understand a German form, use a professional translator or consultant.
- Bank Accounts: Notify them if you change your IBAN.
- Check the math: The Officials make mistakes too—especially regarding the “Differential Amount.”
Frequently Asked Questions
Can the Familienkasse seize my bank account abroad?
Yes. In 2026, EU-wide recovery of taxes and social benefits is highly automated. The German authorities can request your local tax office to seize assets or wages.
What if I can’t afford to pay?
Only after you have verified that the debt is 100% justified should you apply for a payment plan (Stundung or Ratenzahlung). You will need to prove your financial hardship with bank statements and expense reports.
Does my ex-partner’s job affect my Kindergeld?
Yes. If you are separated but the ex-partner lives with the children in another country and works there, they may have priority for child benefits, which affects your German claim.