Divorce or permanent separation are situations that require a re-evaluation of family benefit statuses with the German Family Office (Familienkasse). Many expatriates mistakenly assume that Kindergeld (child benefit) is a personal perk linked to the employee. In reality, the right to this benefit depends primarily on where the child resides and who provides their actual day-to-day care.
Who is Entitled to Kindergeld After Divorce?
German law is governed by the principle of the “primary caregiver.” This means the benefit should be paid to the person with whom the child physically lives and shares a household.
Scenario 1: Both Parents Live in Germany
If both parents remain in Germany after the split, the “Obhutsprinzip” (care principle) applies. The benefit is paid to the parent where the child has their primary center of vital interests. If the child lives with you, you must be the applicant (Berechtigter). If your ex-partner was previously receiving the benefit, you must immediately apply for a change of recipient.
Scenario 2: Cross-Border Situation (Expat Families)
This is a common scenario where one parent continues to work in Germany while the other parent moves abroad (e.g., to the UK, USA, or elsewhere) with the children. After a divorce, the parent living abroad with the children has an autonomous right to apply for Kindergeld. You do not need to work in Germany yourself; the right to the benefit is derived from your ex-spouse’s employment and insurance contributions in Germany. It is vital that the custodial parent abroad becomes the official party in the Familienkasse proceedings to prevent the other parent from unilaterally canceling the application.
Coordination of Social Security Systems
For parents living in other EU/EEA countries or countries with bilateral agreements, EU coordination regulations apply. After a divorce, the professional status of the parent living with the child abroad directly affects which country pays benefits first.
If the custodial parent abroad is employed, that country usually has primary responsibility for family benefits. In this case, Germany pays the “differential supplement” (the difference between the German Kindergeld and the local benefit). If the custodial parent is not working, Germany generally pays the full benefit amount.
Kindergeld and Alimony: Two Scenarios
The relationship between Kindergeld and child support (alimony) depends on which court is handling the case and which national law is applied.
Local Scenario: Both Parents in Germany (German Law)
According to the German Civil Code (BGB), Kindergeld is intended to provide financial relief to both parents. The parent obligated to pay alimony (the non-custodial parent) is entitled to deduct half of the Kindergeld amount from the child support payments calculated according to the “Düsseldorf Table.” This is a universal rule in Germany designed to split the state’s support equally between both parents.
International Scenario: Child Abroad (Foreign Law)
In cases handled by courts outside of Germany (e.g., in the UK or USA), the situation differs. Many foreign courts do not allow an automatic deduction of German Kindergeld from the court-ordered alimony. Consequently, the non-custodial parent working in Germany may be required to pay the full alimony amount as per the local court order, while the custodial parent receives the Kindergeld on top of that. This often results in a more favorable financial position for the custodial parent.
Procedure for Changing the Recipient After Divorce
If you take over the primary care of the child after a split and the money was previously going to your ex-partner’s account, you must take the following steps:
- Notify the Familienkasse: You are legally obligated to report the change in life circumstances and the fact that you no longer share a household.
- Submit a New Application: Apply for Kindergeld in your own name as the custodial parent (Form KG1 and Appendix “Kind”).
- Diversion Application (Abzweigungsantrag): If the ex-partner continues to receive the benefit and refuses to pass it on to you, you can file a special request for the office to pay the funds directly to you.
FAQ – Frequently Asked Questions
Do I have to wait for the final divorce decree to regulate Kindergeld? No. The German authorities look at the factual situation of “permanent separation” (dauernd getrennt lebend), not just the formal legal end of the marriage.
What if my ex-partner canceled the Kindergeld application in Germany out of spite? You can file your own application as the custodial parent. The ex-partner’s employment in Germany generates the right to the benefit, and they cannot deprive you or the child of this right simply by withdrawing their consent.
How many years back can I claim Kindergeld after a divorce? While German domestic law mentions a 6-month limit for retroactive payments, cross-border cases allow for much longer periods. Under EU coordination rules, an application for family benefits in your home country stops the clock for the German deadline. If the right to Kindergeld existed during the time a local authority was processing your case, you can often claim arrears for that entire period.
Who receives Kindergeld in joint custody (50/50 split)? In a “Wechselmodell” (alternating care), parents must agree on one designated recipient. If an agreement cannot be reached, the Family Court (Familiengericht) will decide who is the more appropriate recipient.
Will I lose the benefit if I move out of Germany with the children? No, as long as your ex-spouse continues to work in Germany and is subject to German tax liability. Your right to the benefit is preserved under international coordination rules.