Unemployment benefit

The amount of your Unemployment benefit (ALG) is calculated individually and depends on the following factors:

• Your income subject to contributions over the last 12 months
• Your income tax class
• Whether a child is to be taken into account

This is how your ALG is usually calculated:

First, an assessment period is formed from the payroll periods subject to compulsory insurance that lie in the last year before the start of unemployment (assessment period). If there are at least 150 days with entitlement to remuneration in this period, a daily average remuneration is calculated from the total remuneration in this period.

A flat-rate wage tax, the solidarity surcharge if applicable and a flat-rate amount of 20% for social insurance are deducted from this. The result is your flat-rate net income per day. 60% of this is the amount of ALG you are entitled to per day. If you have one or more children, the amount increases to 67%.

If your entitlement to ALG expires and you are still unemployed, you can receive Citizen's benefit (formerly ALG II). To do so, you must submit an application for Citizen's benefit to your local job center. You can do this in writing or by applying online.

For guidance, you can calculate the amount of your unemployment benefit yourself online using the Unemployment benefit calculator from the Federal Employment Agency.

ALG is an insurance benefit. If you bring about the insured event (here: unemployment) yourself or do not actively look for a new job, a locking period may occur. You will then not receive ALG for a certain period of time.

A blocking period occurs under the following circumstances, for example:

• You resign from your job
• You are dismissed by your employer for conduct-related reasons
• You do not accept a job that has been placed with you by the employment agency
• You cannot prove that you are looking for a new job
• You do not register as a jobseeker in good time

The suspension period can last one to 12 weeks. It does not apply if you have an important reason and evidence for your actions.

How long you receive ALG depends on two factors:

• How many months you were subject to compulsory insurance in the last 5 years before you became unemployed
• How old you are.

ALG for people up to 50 years old

If you are younger than 50 years old, you can receive ALG for a maximum period of 12 months. The following rules apply for the maximum period of entitlement to ALG:

• 6 months of entitlement for 12 months of compulsory insurance
• 8 months of entitlement for 16 months of compulsory insurance
• 10 months of entitlement for 20 months of compulsory insurance
• 12 months of entitlement for 24 months of compulsory insurance

ALG for people aged 50 and over

If you are over 50 years old, the maximum period of entitlement increases in several age steps up to 24 months. The following rules apply:

• From 50: 15 months of entitlement with 30 months of compulsory insurance
• From 55: 18 months of entitlement with 36 months of compulsory insurance
• From 58: 15 months of entitlement with 30 months of compulsory insurance
• : 24 months entitlement with 48 months of compulsory insurance

ALG with a shorter qualifying period

If you have worked in many temporary jobs, you can also apply for ALG with a shorter qualifying period of just 6 months.

In this case, the following rules apply, among others The following regulations apply to the maximum entitlement period:

• 3 months entitlement for 6 months of work subject to compulsory insurance
• 4 months entitlement for 8 months of work subject to compulsory insurance
• 5 months entitlement for 10 months of work subject to compulsory insurance

The employment agency regularly checks whether you are still entitled to unemployment benefit. As a recipient of ALG, you are obliged to inform the employment agency of any changes that could affect your benefit. For example, if you start a new job or if you are unable to work due to illness. This obligation also applies during the suspension period. You can report such changes online, in writing or in person.

Yes. As a rule, you remain compulsorily insured in the statutory health, long-term care and pension insurance as long as you receive ALG. The costs are covered by the Federal Employment Agency. If you are asked by the Federal Employment Agency to attend a registration appointment or present yourself to a potential employer on the basis of a placement proposal from the Federal Employment Agency, you are also covered by accident insurance. During periods in which you do not receive benefits, you are not insured and must take care of your own health and long-term care insurance. An exception to this is during the lock-in period. Here you are still compulsorily insured through the employment agency.

If you work 15 hours per week or more, you are no longer unemployed within the meaning of the law and therefore have no entitlement to ALG.

You must report any secondary employment to the Employment Agency. They will decide whether and to what extent your additional income will be offset against your ALG. You have a free allowance of 165 euros per month. Under certain circumstances, an individual, higher allowance may be set.

If you register as unemployed, you will need your identity card with a current registration address or a residence permit

The employment agency may request further documents when you apply, for example:

• Certificate of employment (to be completed by your employer)
• Your letter of termination or your fixed-term employment contract
• Proof of previous unemployment benefits (if applicable)
• in the case of compulsory unemployment insurance
• If you are required to apply for unemployment insurance, proof of contributions
• Certificate of receipt of sickness benefit
• Certificate of additional income

You can apply in person or register online with the Federal Employment Agency.