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Official Information & Basis
German Income Tax Act: § 10 EStG ↗ and Federal Family Portal: Childcare Costs ↗.
Which Au-pair Costs are Tax-Deductible in Germany?
Under Section 10 (1) No. 5 of the German Income Tax Act (EStG), host families can claim 80% of qualifying childcare costs up to a maximum of €4,800 per year per child as special expenses (Sonderausgaben). This limit applies to all childcare costs combined for that child.
The 50/50 Rule for Au-pairs
An Au-pair typically provides both childcare and light household support. Unless the written Au-pair contract specifies a different ratio with documented hourly schedules, the tax office recognizes a 50/50 division. The remaining 50% for household chores may potentially qualify under Section 35a EStG (household-related services at 20% direct tax reduction).
What Evidence and Records Must You Keep?
- Written Au-pair contract specifying tasks, weekly hours, and pocket money
- Bank account statements proving monthly cashless transfers (pocket money, insurance)
- Invoices and premium receipts for Au-pair health and liability insurance
- Receipts for external childcare such as Kita or after-school care
Frequently Asked Questions about Au-pair Tax Deductions
Is the 50/50 split mandatory?
No. It is a recognized simplification by German tax authorities when mixed duties (childcare and light housework) are performed. Any higher childcare share must be factually justified and proven with detailed time logs and contract documentation.
Can I claim both Kita and Au-pair costs together?
Yes. Qualifying expenses from different childcare providers can be combined; however, the annual maximum limit of €4,800 applies in total per child, not per childcare provider.
Is the calculated deduction my actual cash refund?
No. A "Sonderausgabenabzug" reduces your taxable income base. Your actual tax savings depend on your personal income tax bracket (typically between 25% and 42% of the deductible amount).
Why are cash payments completely disallowed?
Under German tax regulations, payments for childcare and household services must strictly be conducted non-cash via bank transfer (Überweisung). If pocket money or other costs are paid in cash, the tax office will reject the entire deduction.