Amount and entitlement to ALG 1
Those who have worked full-time and then become unemployed often face financial problems. This is because unemployment benefit 1 is only 60 percent of the last net earnings. Every tenth person takes the opportunity to increase unemployment benefit 1. Which Expectations have unemployed and how does the application work in order to increase unemployment benefit 1? The guide explains the details.
Who is entitled to ALG 1?
Anyone who becomes unemployed may be entitled to unemployment benefit 1. The prerequisite is that it the last activity was a purchase subject to compulsory insurance and was therefore paid into unemployment insurance. Contributions have been made in the past two years paid at least twelve months to be able to claim unemployment benefit 1. Replacement times such as military service, maternity leave, parental leave, sick pay and voluntary service are included in the calculation. If you want to receive unemployment benefit 1, you don’t have to sit at home and wait for a job. It is allowed, work up to a maximum of 15 hours a week. Unemployment must be reported personally, at the latest on the first day of unemployment. is the end of Foreseeable activity, it is advisable to submit a report as "looking for a job".
he has worked full time and then becomes unemployed, often faces financial problems. This is because unemployment benefit 1 is only 60 percent of the last net earnings. Every tenth person takes the opportunity to increase unemployment benefit 1.
The agency can impose a blocking period of up to 12 weeks for unemployment benefit 1. This can happen if the employment relationship has been arbitrarily terminated by the employee or due to inappropriate behavior Termination by the employer took place. A blocking period will continue to be imposed if a job offered by the employment agency is rejected, measures for professional integration are refused or the report "job seeking" happened too late. If a recipient of unemployment benefit 1 does not make sufficient efforts to recruit during the reference period, a ban can also be imposed. Termination agreement and severance payments result in blocking periods. Was the Termination for family reasons given, for example, because after the wedding the move to the spouse takes place in another city, there is no curfew. Appropriate evidence must be submitted to the employment agency. Entitlement to unemployment benefit 1 also applies if there has been an employment relationship of at least six months within two years before the unemployment report. It also applies to jobs that were limited to a maximum of ten weeks and if the gross wages did not exceed EUR 32,340. The respective facts are to be proven, the Regulation of the reduced entitlement however, only applies until the end of 2018.
How high is the ALG 1 and how is it composed??
There is no flat rate for unemployment benefit 1. The The amount of the benefit depends on the last salary subject to contributions, the Income tax bracket but also that Number of Children. A daily benefit rate is calculated from these factors and is paid out as a monthly amount. A full calendar month is set at 30 days. As a rule, the unemployment benefit is 1 60 percent of the last net earnings. For a child in the community of needs for whom child benefit is drawn, the amount is 67 percent of the original net salary.
An unmarried, childless employee with tax class I and an average gross wage of EUR 2,000 per month receives unemployment benefit 1 of EUR 817.50. Unemployment benefit 1 is made up as follows:
Average gross monthly wages X 12/365 = daily salary of 65.75 euros
|Individual items||amount in Euro|
|SV flat rate (21 percent)||13.81|
|Daily net wages||45.42|
|Gross wages (60 percent) as a daily benefit supplement||27.25|
|Unemployment benefit for full months (daily benefit rate, gross wages for 30 days)||817.50|
With the same gross salary in tax class III and one child, the employee from the example would have an unemployment benefit of EUR 1042.50. The maximum daily assessment fee is EUR 216.67. It can be seen from the case study that straight with low and middle income that Unemployment benefit 1 is not sufficient to finance your living expenses. Top up unemployment benefit 1 is then the only alternative that remains until a new job is found.
Which assets are considered in ALG 1??
Savings, shares, real estate, income from rentals and leases – the list of possible assets is long. Indeed the assets play no role in unemployment benefits 1. In contrast to unemployment benefit 2, it is a kind of risk insurance. In principle, this works like a car insurance or household insurance. Contributions are paid during employment, if the damage occurs, the insurance covers the costs.
How long is ALG 1 entitled to??
In order to increase unemployment benefit 1, it must be clear how long this benefit can be received. The The duration of payment depends on the one hand on how long an employment relationship existed as an employee and the age at which unemployment occurred. The qualifying period is fulfilled if there is a compulsory insurance activity of twelve months within a two-year period. Unemployment benefit 1 is then paid for six months. who more than twelve months in the past five years employed was, can Entitlement of up to one year to have. Under 50 years old, unemployment benefit 1 is paid for a maximum of one year. Unemployed people over the age of 50 can benefit from a longer period of benefit; unemployment benefit 1 is paid for a maximum of 24 months from 58 years. Those who are close to their 58th birthday can delay their application a little and can therefore receive 24 months of unemployment benefit 1 instead of 18 months. An extension is possible if an entitlement to unemployment benefit 1 has been acquired in the past five years but has not been fully exhausted. In this case, the unused rest can be transferred. However, at most up to the number of permissible periods. The remaining claim expires after five years.
Other forms of ALG 1
What other fee replacement benefits are there??
Partial unemployment benefit
Partial unemployment benefit is an insurance benefit that employees can take advantage of have several employment relationships. If a job subject to compulsory insurance ceases to exist, partial unemployment occurs.
When an employee joins a longer term medical treatment or rehabilitation according to the Ninth Book of the Social Code, Chapter 6, a Compensation compensation can be used, to compensate for the loss of earnings. Transition allowance must be requested separately and will only be paid then, if the Continued payment of the employer’s wages usually ends after six weeks. The social security contributions are paid during the transition payment by the pension insurance institution. Transitional benefit is only paid if a patient has received income, sickness benefit, unemployment benefit or injury benefit immediately before a rehabilitation measure.
Employers who can no longer meet their payment obligations must file for bankruptcy. A precarious situation for employees because their wages are not paid at all or only partially. In order to replace the missing salary, the agency for work with bankruptcy money steps in. It is a one time payment, which can be done as soon as the insolvency proceedings of the employer are opened. The is paid out outstanding wages for the past three months. This is the case when the employer can no longer pay his debts or does nothing to continue his business. The application for bankruptcy money at the employment agency must be submitted no later than two months after the procedure has been opened.
Short-time work allowance, seasonal short-time work allowance
If there are good reasons to shorten the usual working hours at a company, employees can receive short-time work benefits to help them To partially compensate loss of earnings. The aim of this measure is to keep the employees in the company. Cyclical short-time work allowance is paid if a company shuts down working hours for economic reasons or if an unforeseen event occurs. Short-time work benefits can be drawn for a maximum of twelve months. Seasonal short-time work benefits mostly affect the construction industry when certain work cannot be carried out due to bad weather conditions. Transfer short-time compensation is paid to avoid layoffs during in-house restructuring measures. Short-time work allowance is based on the loss of the net salary in the entitlement period. The maximum subscription period is twelve months, interruptions are possible.
If there are good reasons to shorten the usual working hours at a company, employees can receive short-time work allowance in order to partially compensate for the loss of earnings they entail.
Increase unemployment benefit 1
How can the unemployment benefit be increased??
Low-income workers in particular struggle to make a living with unemployment benefit 1. Unemployment benefit 1 can be increased so that there is no financial need. If this happens, the Increase with Hartz 4 services from the job center. According to statistics from the Federal Employment Agency, around 10 percent of the unemployed had to increase unemployment benefit 1 in 2015 with these additional benefits. It is also possible to use the child supplement because the two benefits are compatible with each other. Child supplement is paid in addition to child benefit. However, it is important to adhere to an income limit. The child supplement can only be increased if the income is at least 900 euros. For single parents, the limit is 600 euros. In this case, the unemployment benefit 1 cannot be increased with the child supplement. In the case of unemployment benefit 2, it is not granted anyway. Unemployment benefit 1 can be increased by an additional housing benefit to avoid the need for help.
In order to increase unemployment benefit 1, an unemployed person must become active himself. Because the job center does not automatically grant additional benefits if the calculation is small. For the increase is one Application for unemployment benefit 2 at the responsible job center necessary. A claim exists if a single person has less than € 1200 gross available and amounts to € 1500 if at least one child lives in the household. The exact amount results from an individual calculation.
What are the requirements for an increase??
According to Social Security Code 2 § 11 and § 11b, employees have one Right to basic security.
However, a distinction must be made between
the standard requirements, the expenses for accommodation and heating, any additional requirements and other, one-off benefits such as initial equipment for newborns, purchases for moving into a new apartment, support with a driver’s license or starting an apprenticeship
The standard requirement has one fixed lower limit of 416 euros for a single person such as 374 euros per person in a community of needs. Children’s needs are graded according to age. For children under the age of six it is 240 euros, from six to under 14 years 296 euros and for young people from 14 to 18 years 316 euros.
Young adults who live in their parents’ house, are under 25 and do not work, have a regular requirement of 332 euros per month. Expectant mothers, the disabled or the chronically ill are granted additional requirements. Appropriate evidence must be presented. When increasing unemployment benefit 1, the costs for accommodation and heating are also taken into account. This means that everyone who has less than 1200 euros a month as a single person and less than 1500 euros with a child should have it checked whether it is possible to increase unemployment benefit 1.
How is the amount of the top-up determined??
If you want to increase your unemployment benefit 1, you have to contact the job center. There the Basic needs determined for all people living in the household. Existing income is offset against the amount necessary for basic security.
In order to increase unemployment benefit 1, all existing income is used as the basis for the calculation.
Unemployment benefit 1 Tax reimbursement Maintenance payments Child benefit Income from capital Interest income from rentals Home owner allowance Lottery winnings
Basic pensions in accordance with the Federal Supply Act Nursing allowance in educational use Blind benefit Special benefits such as emergency aid.
Deductible expenses are
Taxes on income Contributions to social security Expenses for insurance Insurance required by law such as motor vehicle liability Other private insurance
For an income from gainful employment, for example from a part-time job permitted by unemployment benefit 1 15 hours maximum, the first 100 euros are not taken into account (basic allowance). 20 percent of the gross income over 100 and under 1000 euros remain unpaid. Anything above this, up to the earnings ceiling of 1200 and 1500 euros, will not count towards 10 percent.
The increase is based on individual calculations based on the respective situation. Under certain circumstances, it may make more sense to rely on housing allowance and child allowance instead of receiving benefits from the job center. Last but not least, since it also entails obligations such as the integration agreement. Affected people should work out for themselves which variant is cheaper for them.
Financing if there is no increase
How can a loan cover living expenses??
Under certain circumstances, the commitment to increase is not long in coming or the amount is not quite as large as originally thought. If there is a major purchase in the household or a child’s school trip, it is important to be financially liquid. An uncomplicated instant credit from Vexcash helps to close the hole in the wallet at short notice. Between 100 and 3000 euros are granted unbureaucratically, the repayment modalities are fair and flexible between one and six months.
Which regulations apply with regard to the increase in the case of nursing or sickness benefit?
If the case of care occurs, the benefits of long-term care insurance take effect. Care allowance is a social bill that is not included in the calculation of income. If the job center wants to count the care allowance, an objection must be lodged immediately. In the event of illness, recipients of unemployment benefit 1 continue to receive the benefits in full for six weeks, after which sickness benefit is paid. Since this is hardly sufficient, an application must be made to increase unemployment benefit 1.
Which regulations apply with regard to the increase when receiving a widow’s pension?
§ 141 SGB III regulates how extra income is counted for unemployment benefit. widow’s pension does not fall into the category of eligible income, because it is not based on the personal commitment of the unemployed. Entitlement to unemployment benefit 1 is therefore independent of a widow’s pension. Unemployment benefit 1 is counted towards the widow’s pension because it counts as a replacement income.
Which regulations apply with regard to the increase as a freelancer?
For freelancers and the self-employed, the basis of income is profit. The increase is not possible for this group because it does not fall into the category of beneficiaries. Self-employed people who earn too little, can top up their earnings with unemployment benefit 2. If someone would like to become self-employed on the basis of unemployment benefit 1, the so-called start-up grant can be granted. For this, the business idea must be subjected to a sustainability check. Founders will then receive a subsidy equal to their monthly unemployment benefit 1 for half a year, as well as a flat rate for social security of 300 euros. Start-ups should also note some tax tips.
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