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FDP leader Christian Lindner

Photo: Bernd von Jutrczenka / dpa

According to Finance Minister Christian Lindner, there will probably be a zero round of citizens' money next year. The standard rate rose sharply on January 1st of this year, said the FDP politician on Thursday evening on the ZDF program “Maybrit Illner”. "I say it has risen disproportionately because when it was set, a completely different inflation rate was assumed for January 2024." The consequence, he expects, will be that there will be a zero round on January 1, 2025 "in order to reincorporate the disproportionate increase."

At the beginning of the year, citizens' money increased by an average of around twelve percent compared to 2023. For single people, this means an increase of 61 to 563 euros per month. Adults who live with a partner receive 506 euros. For children and young people, the rates are between 357 and 471 euros, depending on age.

In 2022, the standard requirement increased by three euros

The reason for the increase is the increased cost of living, which is taken into account when calculating the standard rates. The standard rate for citizens' money is adjusted annually to prices and wages and also takes inflation into account. Lindner recently called for the method for calculating citizens' money to be reviewed so that inflation is not overestimated.

The actually relatively significant increase in citizens' money last year was itself a kind of catch-up and corrective effect. It took place as a compensation for the year 2022, when the standard requirement was increased by just three euros, but at the same time the cost of living in Germany had already risen much more sharply as a result of the beginning of the wave of inflation (data on the historical development of the standard rates can be found here).

In addition, the twelve percent increase was not a political arbitrary act of the traffic light, but rather followed legally established mechanisms that have in principle been in effect for many years.

Editor's note: In an earlier version of the article, based on a report from the dpa news agency, it was said that Lindner had called for a zero round. In fact, he said on the

“Maybrit Illner” show

that he expected a zero round.

beb/dpa-afx