Family Minister Prien proposes cutting Elterngeld to 12 months, raising minimum and maximum payouts

The proposed changes

Family Minister Karin Prien (CDU) presented a draft law on 7 July 2026 that would reshape Germany's Elterngeld (parental allowance). The maximum duration would drop from 14 to 12 months. To receive the full 12 months, each parent must take at least three months of leave, up from the current two. The remaining six months can be split flexibly. Single parents would still be eligible for up to 12 months of full Elterngeld.

Three months are reserved for each parent in the future. Six additional months can be flexibly divided between the parents (3+6+3).

The minimum monthly payment would rise from €300 to €330, and the maximum from €1,800 to €1,900. The sibling bonus for families with another child under three or multiple children under six would be paid longer. The Elterngeld Plus option, which halves the monthly amount but doubles the duration, remains unchanged. Simultaneous receipt of basic Elterngeld would no longer be restricted, and the two-month minimum receipt period would be abolished.

Financial impact and savings

Government spending on Elterngeld has already been falling due to declining birth rates. In 2022, outlays were €7.6 billion; by 2025 they had dropped to €7.1 billion. The 2026 federal budget earmarks around €7.5 billion. The reform is projected to save €1.6 billion by 2030, though only €50 million in 2027 because the new rules would take effect on 1 November 2027. The income threshold for eligibility remains at €175,000 of taxable annual income, unchanged since April 2025.

In 2025, 1.61 million people received Elterngeld (1.19 million women and 417,000 men), a 13.9 percent decline from 2021. The share of fathers among recipients was 25.9 percent.

Political reactions and next steps

The draft is still in inter-ministerial coordination (Ressortabstimmung). The SPD, junior partner in the coalition, has already rejected any cut to the benefit. Minister Prien stressed that women who are currently pregnant, and all children born before 1 November 2027, will still receive Elterngeld under the existing rules.

Maternity protection adjustments

The proposal also includes changes to the Maternity Protection Act. Employment prohibitions for breastfeeding mothers, such as restrictions on night work and overtime, would be limited to twelve months after childbirth. Details of which specific protective provisions would be affected have not yet been published.