Why is this information necessary?
If you want to claim maintenance payments in your tax return, it is checked whether you have enough money left to cover your living expenses despite paying maintenance. The maintenance payments must therefore be in reasonable proportion to your net income..
This amount is called the sacrifice limit. The sacrifice limit is therefore the maximum amount you can "sacrifice" without endangering your own ability to provide for yourself.
Tip: The higher your income, the higher the amount that can be deducted as maintenance.
What is the sacrifice limit?
If you pay maintenance to your relatives, you can deduct this as special extraordinary expenses.
However, this only applies if the maintenance payments are in a reasonable proportion to your net income. After deducting the maintenance payments from your net income, it must still be sufficient to cover your living expenses and those of your partner and children. The sacrifice limit is therefore the limit up to which the tax office recognises your maintenance payments.
The sacrifice limit does not apply if you pay maintenance to your partner living abroad and for maintenance payments to your ex-spouse or permanently separated spouse. The same applies if you pay maintenance to your destitute partner with whom you live in a shared household.
(2022): What is the sacrifice limit?
How is the sacrifice limit calculated?
The basis for calculating the sacrifice limit is your net income, which includes all income (taxable and tax-free). This includes, for example, your wages, child benefit, and unemployment benefit. Deductions are made for income tax, church tax, social contributions, the solidarity surcharge, and the employee allowance or work-related expenses.
The sacrifice limit is one per cent for every full 500 Euro of net income. For spouses, the joint income is used for the calculation. However, a maximum of 50 per cent of your net income is recognised as the sacrifice limit. The percentage is reduced by five percentage points for each of your children for whom you receive child benefit, and also by five percentage points for your spouse, but by no more than 25 per cent in total.
Example:
You are married, have two children, and support your parents with 9,000 Euro per year. Your annual net income is 24,000 Euro.
Net income: 24,000 Euro
1 per cent for every full 500 Euro: 48 per cent
Less spouse: -5 per cent
Less 2 children: -10 per cent
Remaining: 33 per cent
Your sacrifice limit is therefore 33 per cent of 24,000 Euro, i.e. 7,920 Euro.
Of your maintenance payments of 9,000 Euro, only 7,920 Euro are recognised. The maximum maintenance amount of 10,347 Euro in 2022 also applies, plus any contributions to health and nursing care insurance if you have paid such contributions for the maintenance recipient.
(2022): How is the sacrifice limit calculated?
