A good and secure home - Degewo

11
Calculation of net household income
Household income is calculated strictly according to sections
20-24 of the federal housing promotion act (Wohnraumförderungsgesetz,
WoFG). The exact wording of this law can
be found (in German) on the website of the Senate Department
for Urban Development and the Environment (www.
stadtentwicklung.berlin.de/service/gesetzestexte/de/
wohnen.shtml). The first step is to determine the yearly income
of all household members at the time of the rent increase.
The components of yearly income are defined in sections
21 and 22 of the housing promotion act.
From this yearly income, a blanket sum of 10 percent is deducted
for taxes owed on income and compulsory contributions
to health, long-term care and state pension insurance
(WoFG section 23), provided household members are liable to
taxation. In the case of persons with a severe disability,
young married couples (up to the fifth calendar year following
marriage for spouses who are not older than 40), children
and persons with a maintenance obligation regulated by law,
further deductions are made (details in WoFG section 24).
If the net household income calculated in this way is not
higher than the income limit given in the table above (taken
from WoFG section 9 paragraph 2) and if the rent increase
will result in a net cold rent which is higher than 30 percent
of the net household income, then the household can probably
claim a rent increase reduction. For an exact calculation
of their income and to provide proof of their status, households
wishing to make use of this agreement should contact
their municipal housing society landlord.
There is, however, no legal entitlement to these benefits.