How to get family allowances
The family allowance serves as financial assistance to offset some of the costs associated with caring for, raising, and educating a child. This article will provide you with detailed information about this support program.
Social benefits are a broad category, including maternity benefits and allowances for children under 18 years of age. We have already covered the maternity benefits in our Guide article, but the latter matter is a bit more complicated.
Who is eligible
The family allowance is a financial help to compensate for part of the expenses for the care, upbringing, and education of a child. It can be applied to children up to the age of 18 if they are:
- Citizens of Luxembourg;
- Live permanently and continuously in the territory of the Grand Duchy;
- Are a family member of any person who comes under the jurisdiction of a social security agreement in Luxembourg or signed by Luxembourg with other countries.
If a child is adopted or given into care by a court order, the guardian has the right to apply for the allowance.
Are a family member of any person who comes under the jurisdiction of a social security agreement in Luxembourg or signed by Luxembourg with other countries.
Children of employees who are temporarily posted to Luxembourg and do not qualify for benefits.
A child can receive benefits until age 25 if he or she:
- Admitted to a secondary, secondary technical, or similar educational institution and studies there for at least 24 hours per week;
- Goes to a graded educational institution, faculty or center, or an equivalent institution abroad;
- Gets an education, and their income is below the Luxembourg subsistence minimum
Part-time and distant students (e.g., eBac) are not eligible for benefits.
Residency criteria details
As mentioned above, children must be registered in Luxembourg and reside here to receive the benefit payment. However, this requirement can be altered in some cases.
The requirement of actual and permanent residence in Luxembourg is considered met if:
The family member should be, while maintaining childs legal residence in Luxembourg, is temporarily living abroad with his or her family for personal reasons.
If the parent:
- has higher education, or is studying at a university or undergoing professional training in another country;
- has been sent abroad by the employer but is still registered with the Luxembourg social security system;
- is part of a Luxembourg diplomatic mission abroad or is an employee of a mission abroad;
- participates in a cooperation development mission as a cooperation agent or as a volunteer development worker;
- is part of a peacekeeping mission relating to Luxembourg within an international organization;
- works as a volunteer.
In extraordinary cases, the Children's Future Fund (CAE) may grant an exception to one of the conditions listed above.
Children raised abroad with a parent working in Luxembourg are also entitled to family allowance. The amount of the allowance may vary, depending on the allowance already granted in the country of residence.
During the time spent abroad, the recipient must have legal residence in Luxembourg.
Documents
The application and related paperwork are submitted by parents to the Children's Future Fund. Depending on the status of the applicant, the list may vary.
For Luxembourg nationals
- Correctly filled family allowance application form (also available at the commune where the birth is registered);
- A copy of the child's birth certificate;
- Bank account information.
For new residents of Luxembourg (after obtaining a residence permit) — EU nationals
- a certificate of termination or non-payment of the family allowance from their former family allowance fund, which is competent in this matter;
- family allowance application form (the form is also available at the commune where the birth is registered);
- a copy of the child's birth certificate;
- bank account details.
For new residents of Luxembourg (after obtaining a residence permit) — Third-country nationals
- parents working legally in Luxembourg must present their residence permit as well as temporary residence permits for the other members of their family;
- family allowance application form (can also be obtained from the commune where the birth is registered);
- a copy of the child's birth certificate.
For non-residents working in Luxembourg
- A recent certificate of household members.
- Residence certificate from the commune where the child lives.
- Family allowance application form indicating whether family allowances were already being paid for by another institution (for a differential allowance, where applicable).
- A copy of the child's birth certificate and, if applicable, a similar document from the person to whom the allowance comes.
- Bank account information.
- Certificate of termination or non-payment from the previous family allowance plan.
The Children's Future Fund has the right to request additional documents if necessary.
Amount and recipients
Who is entitled to child support and what is the amount? Both can vary depending on the specific circumstances. However, there are some basic rules.
Who will receive it
Child support allowance is available to:
- Parents, if the child is being raised in a joint household or in the case of joint custody (parents may assign one parent to receive the payment);
- Parents or a legal person with whom the child legally resides in Luxembourg.
When a child reaches the age of 18, he or she becomes independent and can personally receive benefits if he or she meets certain criteria. To do this, you must contact the CAE, specify the new recipient of payments, and provide bank details.
In cases of controversy over a potential recipient, the choice is always made based on the best outcome for the child.
Payment amount
Since August 1, 2016, the child support allowance for residents and non-residents in Luxembourg is 285.41 euros per month per child. When a kid reaches 6 years old, there is a supplement of 21.57 euros, and for 12 years old, there is a supplement of 53.85 euros.
For non-resident families, the allowance depends on the number of benefits received in the country of residence. In this case, Luxembourg will pay a difference surcharge, if applicable.
If there is more than one child in the family, the basic amount of the monthly allowance for residents and non-residents is higher:
- 2 children — 592 euros;
- 3 children — 1,112.70 euros;
- 4 children — 1,585.36 euros;
- 5 children and more — 2,057.65 euros.
Children are also paid an allowance to prepare them for school. It is paid every August and amounts to:
- 115 euros — for 6-12 years old;
- 235 euros — for 13 years old and more.
Payment termination
Benefits stop in several cases, if:
- In case of a child's death, the payments will stop one month after.
- If a student has an income exceeding the Luxembourg subsistence minimum.
- During studies, when students receive an income equal to or greater than the minimum wage for at least 4 months out of 12, as part of a paid internship or professional activity;
- Abandoned studies will lead to allowance termination in one month.
All complaints, appeals, and claims are handled by a committee under the Children's Future Fund. It also has the authority to make decisions about assignment and termination of benefits, change of beneficiary, etc.