Income wrongly counted by the Jobcenter: How to check your decision

Suddenly your Bürgergeld is cut because the Jobcenter is offsetting income — but the numbers feel wrong? You are not alone. The income offsetting (Einkommensanrechnung) under §§ 11–11b SGB II is the largest source of errors in Bürgergeld decisions, and even small calculation slips cost real money every month.

The essentials in 30 seconds

• Only net income is counted, not gross wages (§ 11b SGB II).
• Many income types are expressly exempt — basic pension, care allowance, compensation for pain and suffering, many earmarked benefits (§ 11a SGB II).
• For employed persons, 15.33 € work-related expenses plus a 30 € insurance flat rate are deducted as a lump sum (§ 6 Bürgergeld-V).
• One-off income may be spread over at least six months, not booked in a single month (§ 11 Abs. 3 SGB II).
• What matters is the inflow principle (Zuflussprinzip): Money is taken into account in the month in which it actually arrives in your account (§ 11 Abs. 2 SGB II).
• Objection deadline: one month from receipt of the decision (§ 84 SGG).

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Why does this happen?

Income offsetting is the heart of every Bürgergeld calculation. § 11 SGB II — the central provision — first says very broadly: "Income to be taken into account is income in money less the amounts to be deducted under § 11b." Sounds simple, but in practice it is a minefield.

Counted income basically includes: wages and salaries, mini-job earnings, sickness benefit, unemployment benefit I, pensions, parental allowance above 300 €, maintenance payments, rental income, interest and many other ongoing inflows. The Jobcenter must keep two steps cleanly apart: first determine the gross income, then deduct the legally prescribed allowances, and only then offset the result against your need.

Example: Frau Öztürk is a mini-job top-up recipient. She earns 520 € gross per month, paid as a lump-sum wage. The Jobcenter, however, sets exactly 520 € as countable income in her decision. The correct figure would be: minus 100 € basic allowance, minus 15.33 € work-related expenses flat rate (already included), minus 30 € insurance flat rate, minus 84 € earned-income allowance (Erwerbstätigenfreibetrag) (20 % from the bracket 100–520 €). The actual countable amount is therefore only around 306 €. The difference: a good 210 € Bürgergeld per month, wrongly cut from her.

Why do such errors still occur? Often Jobcenter staff carry high case loads with old software that does not pull deductions automatically. Sometimes income is taken from tax records — those run on gross. Sometimes § 11a SGB II is simply overlooked, e.g. with basic pension or care allowance. And with rental income, the Jobcenter likes to count the cold rent without deducting costs such as property tax, maintenance or loan interest.

Your rights in concrete terms

1. Only net counts (§ 11b SGB II). Taxes, mandatory social security contributions, employment promotion contributions and old-age provision contributions are deducted from gross income. For self-employed persons, the tax profit is decisive, not turnover.

2. Flat rates without itemised proof (§ 6 Bürgergeld-V). Every employed person is entitled to a work-related expenses flat rate of 15.33 € per month, with no need to submit receipts. Higher actual work-related expenses (commute, work tools) can be proven separately. Added to this is the 30 € insurance flat rate per month for private insurance — it is generally available to every adult eligible person with own income.

3. Expressly exempt income (§ 11a SGB II). Among other things, the following do not count as income: basic pension under the Federal Pension Act, care allowance for voluntary care of relatives, compensation for pain and suffering, payments by foundations for victims of GDR injustice, earmarked income under public-law provisions (e.g. blindness allowance, parts of state child-rearing allowance), expense allowances for voluntary work up to the tax-free maximum.

4. Inflow principle (§ 11 Abs. 2 SGB II). What matters is when the money actually arrives. Wages that come on 2 October for September are October income — not September. This detail is often booked wrongly and leads to incorrect cuts.

5. Spreading one-off income (§ 11 Abs. 3 SGB II). A one-off larger payment — tax refund, severance, inheritance, back payment — must not "flatten" a single month, but is to be distributed over six months (or over the approval period). If it is counted as a one-off in a single month, that is regularly faulty.

6. Work-related expenses on rental income (§ 11b Abs. 1 Nr. 5 SGB II). From rental income, the necessary expenses connected with earning it are deducted: property tax, building insurance, debt interest on loans, maintenance and administrative costs. Only the surplus is income.

7. Right to object within one month (§ 84 SGG). Every decision is its own legal act. Until the deadline expires, it remains open to challenge — also with suspensive effect for pure calculation errors in many cases.

Current case law

The Federal Social Court (BSG) has clarified the basic structure of income offsetting in several leading decisions. Central line: § 11 SGB II is a inflow rule. Income is to be taken into account in the month in which it is actually available — not in the month for which it is legally "intended". This case law has far-reaching consequences: late wage payments, back payments or pensions transferred late are thereby often counted in months in which the Jobcenter had not expected them at all ([URTEIL-REFERENZ]).

On the twelfth principle for one-off income, the BSG has likewise drawn clear lines: A one-off income exceeding the need must be apportioned over time, so that entitlement does not "fall away" for an entire month. Cuts spanning the entire monthly inflow must regularly be corrected ([URTEIL-REFERENZ]).

There are also settled guiding principles on the interpretation of § 11a SGB II: Not every earmarking of income makes it automatically exempt. What matters is whether it is expressly earmarked under public law and pursues a different purpose from securing the cost of living ([URTEIL-REFERENZ]).

On the question of work-related expenses for letting and leasing, several Higher Social Courts have confirmed: The Jobcenter may not set the cold rent as gross income, but must mirror tax law and deduct the expenses actually proven ([URTEIL-REFERENZ]).

What to do now

1. Pick up the decision and find the calculation sheet. It usually sits at the end of the decision, on the last pages. There you will find for each member of the household community (Bedarfsgemeinschaft) — that is, all persons whose income is counted jointly — a line "income" or "countable income".

2. Gross-net check. Compare the figure with your payslip. Does it show the gross wage — or the net wage? If net is set, move on. If gross is set, you already have grounds for objection.

3. Recalculate the deductions. Are the 15.33 € work-related expenses and the 30 € insurance flat rate actually deducted? For employed persons, the earned-income allowance comes on top. Recalculate item by item.

4. Match the inflow month. Money arriving in your account in October belongs in the October calculation. Check via your bank statements whether the Jobcenter has assigned the correct month.

5. § 11a check. Is the amount counted perhaps income that under § 11a SGB II does not count as income at all? Basic pension, care allowance for caring for a relative, compensation for pain and suffering, or earmarked benefits expressly do not belong in the calculation.

6. File an objection — in writing, on time. Within one month of receiving the decision. Informally by letter, fax or via your Jobcenter mailbox. Rule of thumb for the first step: "I hereby object to the decision dated [date]. Reasoning to follow." That preserves the deadline.

7. Have the decision checked. If you are unsure about the calculation, you should have the decision checked by an expert before the objection deadline expires.

Avoid typical mistakes

• Mistake 1: Gross instead of net counted. The classic. Often missed because the payslip looks confusing. What matters is the payout amount in your account, not the big number at the top of the wage slip.

• Mistake 2: Work-related expenses flat rate missing. The 15.33 € must be deducted automatically, without proof. If this flat rate is not taken into account, the Jobcenter is calculating wrongly — and that costs you real money every month.

• Mistake 3: One-off income fully counted in a single month. A tax refund of 1,800 € is not fully offset in March, but spread over six months at 300 €. A common error that often even leads to a complete zero approval for one month.

• Mistake 4: Reclaiming amounts already taxed. If a net wage was counted and later a refund claim arises, the Jobcenter may not jump back to the gross wage. Taxes and social security contributions are already "gone" and may not be demanded twice.

• Mistake 5: Rental income without deducting work-related expenses. Anyone letting a small flat has costs for property tax, owners' fees, maintenance and loan interest. These are to be deducted before offsetting. But the Jobcenter often simply sets the cold rent.

Frequently asked questions

My wage always arrives only on the 5th of the following month. How is this offset?

What matters is the inflow month (§ 11 Abs. 2 SGB II). Wages for September arriving in your account on 5 October are October income — not September. The Jobcenter must observe this. If it books the amount in September, that is a calculation error you can correct via objection.

I received a tax refund of 1,500 €. Is it counted in one go?

No. A one-off income exceeding your need must, under § 11 Abs. 3 SGB II, be spread over six months — meaning only 250 € is taken into account each month. If the Jobcenter offsets the refund fully in one month, this breaches the spreading rule.

Does the care allowance I receive for my mother count as income?

As a rule, no. Care allowance under SGB XI received as a relative caring for someone is exempt under § 11a SGB II — provided it is paid to you as the carer and not to the person in need of care, and is actually used for care. If the Jobcenter still counts it, this is a clear ground for objection.

How exactly is my mini-job income calculated?

Suppose you earn 520 € gross from a mini-job (employer's lump-sum levy, so for you net = gross). Subtracted are: 100 € basic allowance, 15.33 € work-related expenses flat rate (usually already contained in the basic allowance), 30 € insurance flat rate. From the part between 100 € and 520 €, 20 % stays exempt — that is 84 €. Around 306 € is counted. The exact deductions should be traceable in your decision; if not, the reasoning is missing.

Can I object if the deadline has already expired?

In principle no. But: For calculation errors in income, the review application under § 44 SGB X applies. It allows one year retroactively, in certain constellations even up to four years. This often realises substantial back payments, even when the objection deadline has long since passed.

What if the Jobcenter only estimates my income?

For fluctuating income — typical for self-employed persons or mini-jobbers with varying hours — the Jobcenter may approve provisionally and finalise after the approval period ends. The final assessment must rest on documented numbers, not estimates. If the estimate is too high, you can demand a recalculation.

Have your decision checked now

An income decision is quickly wrong and often impossible to see through without deeper knowledge of §§ 11–11b SGB II. The calculation paths are fiddly, the deductions hidden, the inflow rule often overlooked. It almost always pays to have the decision cross-checked — precisely because even small errors can cost 100 € or more per month.

We review your decision within 5 minutes. Free and non-binding.