Federal student aid Bafög reaches its lowest point in the new millennium
In 2023, the BAföG program, which supports students and pupils in Germany with financial aid for their education, saw a total of 612,800 recipients, a decrease of 4% compared to the previous year. The majority of these recipients, amounting to 483,800, were students, while 129,000 were pupils, making up 21% of the total recipients.
The majority of BAföG recipients in 2023 were under 25 and did not live with their parents. The amount of individual BAföG support depends on the school attended, accommodation, and the income of the beneficiary and their parents. In 2023, the average monthly BAföG support was 635 euros, a decrease from 640 euros in the previous year.
The German Student Union and the German Trade Union Confederation have criticised that BAföG has been too low and does not reach enough students. They argue that the allowances do not cover the actual need. Spokesman Stefan Grob from the German Student Union demands that BAföG be higher, simpler, and digital. Elke Hannack, deputy chairwoman of the German Trade Union Confederation, echoes this sentiment.
In an effort to address these concerns, the housing cost allowance in BAföG will be increased from 380 to 440 euros per month from the winter semester 2026/2027. Additionally, the BAföG basic need of 475 euros per month will also be increased in two steps from 2027.
The number of BAföG recipients decreased in 2023 primarily because many eligible students do not apply for the aid, often due to misunderstandings about their eligibility, funding conditions, or repayment obligations. Despite an increasing number of students formally eligible for BAföG, take-up remains low because of these misperceptions.
In 2024, a new financial grant, the "Study Start Allowance", was introduced. This one-time financial grant of 1,000 euros is available for people under 25 who receive certain social benefits before starting their studies and are enrolling in a university for the first time. In 2024, 10,700 people received the "Study Start Allowance", with the federal government spending 10.7 million euros on it.
The gender distribution among BAföG recipients in 2023 was 59% women and 41% men. It is worth noting that women are more represented in the BAföG recipient pool compared to men.
The decrease in BAföG recipients in 2023 seems to be largely due to behavioral and informational barriers affecting students’ application rates, rather than structural or regulatory changes in the BAföG funding or eligibility. As such, efforts to increase awareness and understanding of BAföG among students are crucial to ensure that more eligible students can benefit from the program.
- The decrease in BAföG recipients might be a result of financial aid's misperceptions among students, prompting the need for increased awareness in education-and-self-development programs.
- In response to criticisms about the inadequacy of BAföG, the government plans to increase the housing cost allowance in finance and raise the basic need variable in business sectors, aiming to improve the support for undergraduate students.
