Apply for start-up money
Description
The introductory allowance is intended to provide you with a financial incentive if your income is initially no higher or barely higher than your previous cash benefits from the basic income support scheme.
Einstiegsgeld is granted to you as a non-accountable subsidy.
The amount of the subsidy can be determined by each job center on the basis of the legal criteria and amounts to a maximum of 50 percent of the standard rate of the citizen's allowance. The calculation of the amount takes into account, among other things, the duration of your unemployment and the size of your needs group. Therefore, the amount of the Einstiegsgeld varies depending on the individual case.
For special groups of people, your job center can also make a flat-rate assessment. This facilitates equal decisions in similarly situated cases and concerns in particular:
- Long-term unemployed,
- single parents,
- migrants,
- older people,
- people with health problems,
- women in partner need groups.
You can receive starter money for a maximum of 24 months.
Your job center alone decides whether and how much you can receive. This means that you have no legal entitlement to it.
- You will receive a citizen's allowance before starting your new job. Unemployment is not a prerequisite for this.
- You must apply to your job center before you actually start working.
- Your new self-employment or your new job is suitable for overcoming your need for assistance in the long term.
- The introductory allowance is necessary for your integration into the general labor market.
- Your gainful employment comprises at least 15 hours per week.
- Additional requirements for self-employment/starting a business:
- positive assessment of the job center about
- your personal suitability,
- the economic viability of your self-employed activity
For self-employment/start-up:
- Application for funding
- Curriculum vitae, if applicable including necessary certificates of qualification
- Meaningful description of the business start-up project explaining the business idea (business concept/business plan)
- Capital requirements and financing plan
- Turnover and profitability forecast (expected turnover and costs) for the next 3 years
- If applicable, a statement from an external third party or an expert body on the viability of your company
- Expert bodies are: Chambers, trade associations, credit institutions, start-up initiatives
- Proof that you are self-employed, e.g. through your business registration, notification to the tax office or confirmation of the change of a sideline business to a main business
- If necessary, further proof, for example, of your
- accident insurance or
- business liability or
- Entry in the register of skilled crafts
In case of employment subject to social insurance:
- Application for subsidy
- Copy of your employment contract
You must not have started your gainful employment yet when you apply for Einstiegsgeld. This applies both to the start of employment subject to social insurance contributions and to your self-employment.
In order to receive the introductory allowance, you should first arrange a counseling interview at your responsible job center:
- Contact the responsible job center and make an appointment for an interview.
- In the case of employment subject to social insurance contributions, you can also apply for the introductory allowance online.
- The integration specialist will record your data and check whether you meet the eligibility requirements.
- The counselor will make a discretionary decision on this basis.
- You will receive a decision by mail or online stating whether your application has been approved or rejected.
- If your application is approved, the Jobcenter will transfer the amount to your account monthly in advance.
Federal Ministry of Labor and Social Affairs (BMAS)
31.07.2023
The text was automatically translated based on the German content.