Overview
- The Frühstart-Rente will pay €10 per month only to six-year-olds in 2026, with additional age cohorts planned in subsequent years.
- The 2026 budget’s final adjustment allocates €50 million for the scheme, enough for a single birth cohort compared with roughly €1 billion needed for a universal rollout.
- Parents are expected to open a qualifying investment account or children will be placed in a default option after a set period under reported administrative plans.
- Draft product features reported include no capital guarantee, locked access until retirement, tax-free investment gains, and optional contributions from parents or grandparents.
- Separately, federal child benefit rises to €259 per month from 1 January 2026, and Bavaria’s Landtag canceled the €3,000 Kinderstartgeld to fund Kitas, prompting petitions exceeding 90,000 signatures.