Children's bank account in Germany: how to open a Kinderkonto and teach your child about money

A children’s bank account in Germany helps gradually move pocket money from a piggy bank into a real financial tool: the child sees incoming money, learns to plan spending, save, and use a card without the risk of going into the red. These accounts are usually called Kinderkonto, Jugendkonto, or Taschengeldkonto; in practice, this is a current account for minors with parental control.

Why a child needs a separate account

While a child is very young, cash and a piggy bank often work better than any app. But around primary school age, regular purchases, gift money, trips, subscriptions, school expenses, and the wish to manage part of a budget independently start to appear. At that point, a separate account helps:

• provide pocket money regularly, for example via a Dauerauftrag once a week or once a month;
• separate the child’s money from the family budget;
• show how a card, balance, transfers, and savings work;
• limit spending through caps and the absence of an overdraft facility;
• keep a history of income and spending without constant arguments about who remembers what.

For parents, this is not a way to give up control but a calmer transition toward financial independence. Until the child reaches adulthood, legal guardians usually retain decisive influence over the account settings.

How much pocket money to give

In Germany, there is no law requiring parents to pay Taschengeld. It is a family decision. The federal Familienportal publishes guideline amounts: they are not a mandatory table, but a starting point for a conversation with your child.

Guidelines for 2026:

Age	Recommended range
under 6	1-2 € per week
6-7	2-3 € per week
8-9	3-4 € per week
10-11	15-25 € per month
12-13	20-30 € per month
14-15	25-45 € per month
16-17	40-60 € per month
from 18	55-75 € per month if the child is financially dependent on the parents

For children under 10, a weekly rhythm is usually easier to understand: a month is too long a planning horizon for them. From about age 10-12, you can gradually move to monthly payments and a bank account.

Gifts from relatives for birthdays or Christmas are best treated separately. They are not regular pocket money, but irregular income for which you can agree on rules in advance: part is spent, part is saved.

Pocket money rules that actually work

Financial literacy does not come from the amount, but from predictable rules. The most useful agreements are simple:

• Pay regularly. The child should know when and how much money will arrive. That is how they learn to plan instead of asking again each time.
• Do not tie Taschengeld to grades or punishment. Pocket money teaches budget management; if the amount constantly changes as a reward or fine, planning breaks down.
• Leave room for independence. A child may buy something imperfect. If the purchase is safe and legal, it is better to discuss the lesson later than to control every little thing.
• Separate pocket money from essential expenses. School, basic clothing, food, and medical costs usually remain the parents’ responsibility. If a teenager has to pay for, for example, mobile service or transport, that is already Budgetgeld, not ordinary Taschengeld.
• Agree on rules between parents. In separated households, it is especially important to agree on amounts and transfer frequency so that one parent does not unexpectedly undermine the arrangement with large top-ups.
• Do not automatically pay for ordinary help around the house. Participation in family duties is usually better not turned into a daily tariff. One-off extra tasks can be paid separately if the family agrees on that.
• Teach saving for a goal. For larger gifts and savings, it is useful to set up a separate goal: a bicycle, tech, a trip, a course, or another clear wish.

When to open a Kinderkonto

There is no single correct age. For a preschooler, cash is often enough. At age 10-12, an account already becomes practical: the child understands regular income, can save for several weeks ahead, and gradually learns cashless payments. For a teenager, an account is almost always more convenient, especially if they travel independently, receive gift transfers, work part-time, or buy online with parental permission.

Banks often offer children’s and youth accounts with no maintenance fee and no Dispokredit. But conditions change, so before opening one, it is important to check not the marketing page but the specific bank’s Preis- und Leistungsverzeichnis.

How to choose a bank for a child’s account

Compare not only the bank name, but the way the child will actually use the account.

What to check before opening

• Account maintenance fee. Children’s and youth accounts are often free, but this should be explicitly stated in the terms.
• Card and restrictions. Usually you want a debit or bank card without a credit limit and without the possibility of going into the red.
• Cash withdrawals. Check the ATM network and fees, especially if the child uses cash on the way to school or activities.
• Online banking. Clarify from what age the child gets access, which operations are allowed, and what parents must approve.
• Parental access. Check whether you can set limits, disable certain functions, and get an overview of transactions.
• Top-ups. It is more convenient if parents can transfer Taschengeld as a regular payment from their own account.
• What happens after 18. Some banks automatically switch the account to an adult tariff or require proof of pupil, student, or Auszubildende status.

Direktbanken often offer very good conditions, but they do not have branches. A branch bank may be more convenient if the family values in-person identification, cash deposits, or face-to-face advice.

Which documents are needed

The exact list depends on the bank and the family situation, but usually they ask for:

• identity documents for the parents or legal guardians;
• the child’s passport or birth certificate;
• the child’s tax identification number, if the bank requests it;
• consent from the legal guardians on the bank’s form;
• proof of sole custody if only one parent opens the account with sole custody;
• a marriage certificate or another document if the bank needs to connect different surnames of the parents and the child.

If both parents have parental custody, the bank usually requires consent from both. For online opening, identification is added: VideoIdent, eID, or another procedure supported by the bank.

What the law says about minors and money

In Germany, children under 7 are considered incapable of entering into legal transactions on their own. From 7 to 18, limited legal capacity applies: many contracts require the consent of legal guardians. In everyday life, this is linked to § 110 BGB, known as the Taschengeldparagraph: a minor’s transaction can be valid if it is fully paid for with funds provided for that purpose or for the minor’s free disposal.

This does not mean a child can independently open any banking product. A bank account, card, online banking, and investment products are governed by a contract with the bank, so the bank almost always works through the parents or legal guardians.

§ 113 BGB concerns an authorized employment or service relationship of a minor. If a teenager works, the bank may request the employment contract and additional documents, but the account opening conditions still need to be checked with the specific bank.

How to use a child’s account safely

The logic of a child’s Girokonto is similar to an adult account, but with restrictions. To start, a small set of functions is enough:

• regular Taschengeld payments;
• a card without a credit limit;
• a limit on cash withdrawals and payments;
• no Dispokredit;
• parental overview and the ability to change settings;
• a separate piggy bank or Unterkonto for savings, if the bank offers it.

It is not worth enabling every function right away. It is better to add them as the child grows older: first the card and cash, then online banking to view the balance, and later transfers and more independent payments.

Taxes and interest on a child’s money

If interest appears on the child’s account or deposit, this is already the child’s capital income, not the parents’. In Germany, such income is covered by the Sparer-Pauschbetrag: 1,000 € per year for one person. So that the bank does not withhold tax on interest within this limit, people usually submit a Freistellungsauftrag in the child’s name.

It is important not to confuse this with the parents’ tax planning. Money in a child’s account should genuinely belong to the child. Using the child’s account as a formal parking place for the parents’ investments is risky and may raise questions from the bank or the Finanzamt.

If the amounts are large, there are investments, or the interest is high, it is better to clarify the tax consequences in advance with a Steuerberater or the Finanzamt.

What changes after 18

From adulthood onward, the account holder manages the account independently. Parental access usually ends or must be set up again as a power of attorney. The bank may change the tariff: the account sometimes remains free for school pupils, students, Auszubildende, FSJ participants, or people in other programs, but for that it is often necessary to upload proof of status on time, for example an Immatrikulationsbescheinigung.

Before the 18th birthday, it is worth checking:

• whether the account will become paid;
• which cards and limits will change;
• whether a Dispokredit will become available;
• whether proof of study or Ausbildung is needed;
• whether the adult account holder wants to leave the parents a Vollmacht in case of travel, illness, or organizational matters.

Short checklist for parents

1. Decide which expenses the child pays themselves and which remain with the parents.
2. Choose a regular Taschengeld amount and payment frequency.
3. Compare Kinderkonto options by fee, card, limits, cash access, and online banking.
4. Check whether both parents’ consent is required.
5. Open the account and set up a Dauerauftrag.
6. Start with low limits and gradually expand the functions.
7. Every few months, discuss spending, savings, and mistakes with the child without accusations.
8. Before the 18th birthday, check the new tariff and the documents needed to keep the account free.