What Are Protected Assets (Schonvermögen)?
When applying for social welfare benefits in Germany, your personal savings must be disclosed. Under German law, a certain amount of assets is protected as **Schonvermögen** – meaning you do not have to spend down these savings before receiving support. The allowances depend heavily on the type of benefit claimed.
For detailed calculations, you can use our free protected assets calculator.
Protected Asset Allowances by Benefit Type (2026)
| Benefit Type | Protected Asset Limit (per person) | Owner-Occupied Home | Reasonable Car |
|---|---|---|---|
| Bürgergeld (12-Month Grace Period) | 40,000 € (first person), 15,000 € (others) | Protected (fully) | Protected (fully) |
| Bürgergeld (after 12 months) | 15,000 € | Protected (within size limits) | Protected (up to ~15,000 € value) |
| Social Assistance (Sozialhilfe / SGB XII) | 10,000 € | Protected (reasonable size) | Only if necessary for work/mobility |
| Help for Care (Hilfe zur Pflege / Nursing Home) | 10,000 € | Usually not (must be sold/rented) | Usually not protected |
Gifts and the 10-Year Clawback Rule
If you transfer assets (e.g., money or real estate) to relatives to artificially become eligible for social welfare, the social welfare office (Sozialamt) can claw back these gifts under **§ 528 BGB** for up to **10 years** after the gift was made.
Assets That Are Always Protected
- Certified Riester Pensions: Savings in a subsidized Riester pension plan are fully exempt from being counted as assets for Bürgergeld and Sozialhilfe.
- Reasonable Household Items: Furniture, clothing, and home appliances.
- Pre-paid Funeral Contracts: Typically protected up to a value of approx. 5,000 € to 6,000 €.
Sources: § 12 SGB II, § 90 SGB XII, § 528 BGB, SGB XI, as of 2026.