Further education improves the chances on the job market. This not only applies to workers who are planning to move up the job, but also unemployed and returnees. If the program is extensive or a complete retraining is planned, high costs may be incurred. Therefore, those hungry for education need not only look for the best offers, but also look for ways to finance further education. Numerous offers from the federal government and the federal states support this: from the course for business English to the aspired master examination. In addition, certain target groups can still benefit from additional funding. Last but not least, continuing vocational training can also be taxed.
- But who can benefit from which support measures?
Forms of funding programs at a glance
Which funding programs are available for which target group?
Continuing education pays off, which is why the federal government can afford to cost the various subsidy programs several million a year. The individual further training offers require different previous knowledge and life situations and are aimed at employees, the self-employed, new and returnees, unemployed, low-paid workers, older employees and employees without a vocational qualification . As broad as the target group are the offers. In the context of the funding, it is possible to finance a further education that lasts only one day. In addition, one of the programs can be used to finance a complete degree program. The amount of the own contribution , the willingness to provide further training varies depending on the program and can vary between 10 and 50 percent .
Further education improves the chances on the job market.
The training finance in the context of the professional activity
Many employers value it when their employees want to educate themselves. In order to be able to finance further education, an individual agreement with the boss sometimes helps. Thus, the employer can grant grants or grant a loan to finance further education. In addition, employees have a statutory right to free days for so-called educational leave, usually five days per year. The application must reach the boss six to eight weeks before the start of the course . Salaried employees usually have the most opportunities to finance further education. Anyone who has completed initial training can receive a loan via the Bank and make his master’s education . 40 percent of the costs are granted as a grant. With a promotion scholarship, the dream of full-time or part-time graduation comes within reach. In addition, employees can also have educational vouchers issued by the Employment Agency .
As part of the education premiums, once a year award vouchers can be applied for , to receive subsidies for further education up to 500 euros. Alternatively, a savings voucher may be claimed if a corresponding savings balance exists. The program “Continuing education for low-skilled and employed older workers in companies” (WeGebAU) addresses non-vocational workers, returnees and older workers . Young workers up to 24, on the other hand, can benefit from a further education scholarship. Funded are professional training, but also interdisciplinary qualification measures – over three years with up to 7200 euros with ten percent own contribution.
- Ascent Bank, formerly Meister-Bank
- Rise Bank
- Educational bonus: premium voucher and savings voucher
- Continuing education of low-skilled and employed older employees in companies “(WeGebAU)
- Training scholarship
The training finance in the context of the study
In order to give students the opportunity during their studies to gain valuable practical experience and to develop the soft skills that are so important for the profession, so -called Career Centers exist at almost all universities and colleges in Germany . These links between the lecture hall and the job market offer study-accompanying seminars . Often, these courses are conducted in collaboration with potential employers. Even a costly year abroad or a semester abroad makes for a good CV. This stay abroad can be financed through the EU’s Erasmus + program . In addition, there is the possibility to finance stays worldwide as part of your studies or for internships with a foreign Bank .
Depending on the subject area, there are also scholarships from various foundations . If you want to study, you can do that with the Ascension Scholarship. This can be used to finance a full-time course or an extra-occupational study . Monthly there are 735 euros plus 80 euros book money. A child care fee of 130 euros is added per child. Extra-occupational studies are subsidized with 2400 euros per year. The current professional status is not relevant, but you must have completed a grade of 1.9 or better and have two years’ professional experience.
Further education for students:
- Erasmus +
- rise scholarship
The training finance in the context of the self-employment
Self-employed people – thanks to state subsidies – have the opportunity to finance their further education. With a bonus voucher it is possible to let the further education to a part of the state finance. The premium voucher is granted within the framework of the education bonus, namely to all self-employed persons whose taxable annual income is up to 20,000 euros . This voucher can be used once a year and covers up to a maximum of 500 euros of course costs. In Brandenburg, Rhineland-Palatinate, Saxony, Saxony-Anhalt and Schleswig-Holstein, the training may only cost a total of € 1,000 to qualify for the grant. The so-called savings voucher forms the second component and is intended to finance long and cost-intensive further education. The prerequisite is a savings account according to the Vermögensbildungsgesetz (VermBG) . The money can be used before the end of the seven-year retention period to finance further education. With a further education scholarship, young self-employed persons up to the age of 24 can finance subject-related further education . Over a period of three years, up to 7200 eligible for further training. With the former master Bank, now advancement Bank, with a mix of loans and grants a further education to the master, technician or economist is promoted.
Training for the self-employed is supported as follows:
- Premium voucher and savings voucher
- Training scholarship
- Ascent Bank, formerly Meister-Bank
Continuing education finances unemployment and career entry
Unemployed people can improve their chances of a new or even first career entry after completing their education with an education voucher. If the conditions are met, the job center issues the voucher to finance a further education. The initiative “Starter Pack” supports young adults from the age of 25 to catch up on vocational training. But also returnees or returnees can use this program to finance further education.
Support programs for the unemployed and (re) beginners:
- education voucher
- Initiative “Future Starter”
Many federal states support those willing to continue their education with education checks or other support measures.
Hidden Cash Splashes – Taxes and Financial Aid
Which training program and expenses can be deducted for tax purposes?
The journey, accommodation and expenses for learning materials: Who has to finance his further education, not only pays the course fees. Especially the additional costs scare off many to finance training from their own pockets, if no subsidy pot can be tapped. However, it will not be that bad, because costs for continuing education and for further education measures can be claimed for tax purposes . Thus, at least part of the cost comes back. In principle, it is possible to deduct the tax, which provably serves the professional advancement. These include very specific further training measures, a second degree course, seminars, courses or language courses . A proof must be submitted to the tax office, from which the goal and the structure of the further education become clearly evident. The training is claimed as income- related expenses for income from employment . The self-employed list their expenses under the operating costs. If the occupational benefits of a measure are only partially met, a pro-rata deduction of expenses will be considered. If the Treasury does not identify with the profession, there is a chance of recognition if the employer has subsidized or made compulsory part of the training. At the tax office, not only the registration fee and the further education costs can be specified. Also recognized is the procurement of technical literature, working materials, copies and even internet usage . If the financing of a training is planned by credit, the loan interest and fees are deductible. Travel equipment such as suitcases or travel alarm clocks, which are purchased for participation in external training, are excluded from the tax.
What are the differences in deductibility for different groups of people?
Taxes only save who submits a tax return. Employees and self-employed persons who have completed their first vocational training and finance single training or on a pro-rated basis can claim the costs. For self-employed persons, tax returns are peculiar because they can and must deduct specific items. In addition to the additional costs of further education, the tax office can also be involved by parents on parental leave as well as the unemployed who use their career breaks to fitter themselves for the job market.
Employees who finance a further education program enter the costs into Annex N of the tax return . Expenditure on further training falls under the cost of income and can be taxed without upper limit. The tax office automatically sets workers a lump sum of 1000 Euro in advertising costs . If these are already exhausted by travel costs for commuting or other expenses, this is worthwhile. For example, anyone who had to finance a further education for 1000 euros and has a tax rate of 25 percent gets back 400 euros from the Treasury. If self-employed had to finance further education, they will pay the costs in an informal comparison of operating income and expenditure , provided that their annual income does not exceed € 17500. If this is the case, the tax return will be used to complete and submit the EÜR attachment. Further education costs count from the first Euro. The higher they are, the lower the taxable income.
Those who are not currently working can benefit with a delay. With little or no revenue, the cost is higher than the income when it comes to financing a training. The tax office determines a tax loss in these cases. This can be settled in the same year with the income of the spouse, if a joint tax return is submitted. Or the tax loss will be carried forward into the next year or until sufficient income is available. In the income-free period, the advertising fee does not apply. It is therefore advisable to enter small amounts in the tax return.
How can a financial shortage be bridged?
Despite extensive funding programs, there are many training measures that fall through the grid. In this case, those who are willing to learn must put everything on a map and finance their own financial resources training . Sometimes the expected tax refund is also coming up. In these cases, a microcredit can help. Given a regular income of at least 500 euros per month, Speedy Loan grants an express loan with a sum of between 100 and a maximum of 3000 euros. The repayment modalities are flexible. You pay in one to six monthly installments – and that at favorable interest rates. As seminars are often limited in places and there is a hurry to register and pay, the express option makes it possible to transfer funds to the borrower’s account on the day the application is submitted.
In which federal states is there a specific funding?
Many federal states support those willing to continue their education with education checks or other support measures. Benefit from who lives or works in the corresponding state. Currently, there is support to finance further education in Brandenburg, Bremen, Hamburg, Hesse, North Rhine-Westphalia, Rhineland-Palatinate, things Saxony-Anhalt, Schleswig-Holstein and Thuringia . The concepts of the individual federal states differ greatly. For example, the Further Education Bonus 2020 in Hamburg and the Bildungsscheck in North Rhine-Westphalia are only suitable for applicants working in a company with fewer than 249 employees. Decisive for the promotion in some countries is the taxable annual income . Thus it may not be more than 30,000 euros in North Rhine-Westphalia, in Bremen it is 20,000 euros. Some of these programs are aimed specifically at unskilled workers who can not show a vocational qualification. That’s the case in Bremen or Hesse. Hamburg or Schleswig-Holstein also include founders and freelancers in their funding. Unemployed people who do not receive any benefits from the job center also have the option of having their further education financed or supported in many federal states.
The type of funding granted differs from state to state. The education check in Brandenburg subsidizes 50 percent of the fees, the training must cost at least 1000 euros. The situation is similar in Bremen and Schleswig-Holstein. In Saxony and Saxony-Anhalt can be taken over up to 80 or 90 percent of the costs. Most of the time the cap on subsidies is capped. In Hesse, this is 4000 euros, in Saxony-Anhalt, however, 25,000 euros. Different institutions in the countries are contact persons, if a further education is to be financed. The search engine of the German Educational Server for Continuing Education seeks in infoweb training with just a few clicks, the funding program, which is suitable for applicants in the respective federal states: search engine of the German Education Server for further education courses
Apply for funding
How can the funding of the programs be applied for and what should be considered?
It takes pilots through the jungle of funding programs. Anyone who has found a program to finance further education will contact the relevant office directly. There, consultants check whether it is possible to finance further education. In addition, they provide information about the necessary documents and the application modalities and deadlines. In addition, there is the information phone “Weiterbildungsberatung” of the Federal Ministry of Education and Research . Under the number 0800 2017909 interested in a further education interested can get free advice . The employees are trained to give direction to unconcrete training concepts. They help to find tailor-made support programs and offers for the respective life situation and refer further to local contact persons. Co-browsing is also being worked on: those willing to follow up on training are guided by the consultant to relevant websites in real time, where they receive further information. The information phone “Weiterbildungsberatung” also answers questions about how continuing education can be financed. After such advice, advice seekers know where and how to apply for funding to finance further education.