Example: investing child benefit over 18 years
Under § 66 Abs. 1 EStG child benefit in Germany is €259 a month for each child. If it were invested from the first month until the 18th birthday, €55,944 would be paid in. At an assumed 4 % a year, credited once a year, the simulation arrives at €81,422.56, at an assumed 7 % at €109,634.20. The difference to what was paid in is what time adds, €25,478.56 at 4 % and €53,690.20 at 7 %.
The calculation assumes the benefit stays the same for 18 years. In reality the lawmaker changes the amount again and again. It also assumes the family does not need the money for everyday life. For many families child benefit is there for exactly that. The calculation only shows what time does with a fixed amount, and does not say what a family should do with it.
Over 18 years time adds a lot to a fixed amount. How much depends on the assumption.
€81,422.56 at 4 % a year, from €55,944 paid in.
Calculated like the NextGen tab: the standing order at the start of each month, the return credited once a year, until the 18th birthday. The return is an assumption, not a promise.
Questions people ask
How much is German child benefit per month?
€259 a month for each child, under § 66 (1) EStG as worded when checked on 29 October 2026.
What would child benefit invested for 18 years come to?
€55,944 paid in. At an assumed 4 % a year the simulation shows €81,422.56, at 7 % €109,634.20. Both are assumptions.
What does this calculation leave out?
That the amount changes over the years, and that many families need child benefit for everyday costs. It shows only what time does with a fixed amount.
Source: § 66 Abs. 1 EStG, as of 2026-10-29, retrieved 2026-10-29
A fixed monthly amount over 18 years, at two assumptions.
The simulation, the comparison and the Beam stay free.
Education, not advice. Disclaimer