Hartz IV: What is considered as exempt assets and how is the need calculated?
February 17, 2024 | 30,00 EUR | answered by Albrecht Dietrich
Dear Social Law Attorney,
My name is Ralf Möller and I have been receiving Hartz IV benefits for some time now. Recently, I have been delving deeper into the topic and came across the term "protected assets". Unfortunately, I am not entirely sure what exactly falls under this category and how it affects my benefits.
My current situation is as follows: I have some savings in my account, as I inherited some years ago. I would like to keep this wealth for potential emergencies or larger purchases. However, I am wondering whether this wealth is considered protected assets or if it will be taken into account and my benefits reduced accordingly.
Additionally, I am interested in how the needs of a Hartz IV recipient are calculated. I have heard that there are various factors taken into consideration. Since I have not delved deeply into this before, I am uncertain if my benefits are being calculated correctly and if I may be entitled to additional benefits.
Could you please explain to me what exactly is considered protected assets and how it affects my benefits? Furthermore, I would like to know how the needs of a Hartz IV recipient are calculated and if there are ways to increase them.
Thank you in advance for your assistance.
Sincerely,
Ralf Möller
Dear Mr. Möller,
Thank you for your inquiry regarding the asset protection allowance and the calculation of needs as a Hartz IV recipient. I will try to answer your questions as comprehensively as possible.
The asset protection allowance refers to certain assets that are not taken into account when calculating Hartz IV benefits. These include, for example, certain amounts in the current account, valuables such as jewelry or a reasonable car. Also, an appropriate self-used property or an appropriate amount for retirement provision are usually protected. The inheritance you mentioned could therefore fall under the asset protection allowance as long as it is within the exemption limits.
When calculating the needs as a Hartz IV recipient, various factors are taken into account. These include the costs for accommodation and heating, the standard rate for subsistence as well as any additional needs (e.g. for single parents or disabled people). Income and assets are also taken into account in the calculation, with the asset protection allowance not being taken into consideration.
If you are unsure whether your benefits are being calculated correctly, I recommend contacting a social welfare lawyer or the relevant job center. There, you can request a review of your benefits and potentially assert claims that have not been considered so far. There is also the option to apply for additional benefits if you have special needs that go beyond the standard rate.
Lastly, I would like to emphasize the importance of providing all information and documents regarding your assets and income transparently and completely to avoid possible disadvantages. I hope my explanations have answered your questions regarding the asset protection allowance and the calculation of needs as a Hartz IV recipient.
If you have any further questions, please do not hesitate to contact me.
Kind regards,
Albrecht Dietrich, Lawyer specializing in social law
