Application costs: what the authorities can cover

What is the placement budget (Vermittlungsbudget)?

The placement budget is set out in Section 44 of Book III of the German Social Code (SGB III). The Jobcenter uses it under Section 16 SGB II for people receiving Grundsicherungsgeld (basic income support; until June 2026 called Bürgergeld). Costs that can be covered include application costs and travel costs to job interviews.

Important: there is no legal entitlement. Whether costs are covered, and to what extent, is a discretionary decision (Ermessensentscheidung) by your advisor.

Costs for having your documents prepared by a service provider can be covered in individual cases. This too is a discretionary decision, so do not plan on it.

Who can use it?

The employment agency (SGB III) or the Jobcenter (SGB II) is responsible, depending on where you are registered or who supports you.

5 steps to your application

Apply before any costs arise. Costs cannot be covered retroactively.

1. 1

   Talk to your advisor

   Say that you want support with your application documents and ask what the application needs.

2. 2

   Apply before you buy

   You can apply online in the eService of the Federal Employment Agency. You first state the estimated costs and submit the invoice later. Ask your office what information it needs about the costs.

   Go to the online application in the Federal Employment Agency eService
3. 3

   Wait for the decision

   Wait for the decision. Only once you have the notice do you know whether, and to what extent, costs can be covered.

4. 4

   Buy

   Only then do you buy. Keep the invoice.

5. 5

   Submit the invoice

   Send the invoice to the office that handled your application.

Deducting it from your taxes

Application costs are income-related expenses (Werbungskosten). You can list them in your tax return (Anlage N). Amounts the agency or Jobcenter reimbursed cannot be deducted a second time. You can only deduct what you paid yourself: the package price minus the reimbursement.

There are flat rates per application. Their level depends on the practice of your tax office.

How this affects you depends on your tax situation. If in doubt, ask your tax office or a tax advisor.

Application cost flat rate with proof

Some agencies and Jobcenters cover a flat rate per documented application. The level differs between agencies and Jobcenters, and it remains a discretionary decision. Whether online applications count is for the office to decide.

You provide the proof yourself. With Pebio you can export your application list as a CSV file and use it as the basis for your proof, in the customer portal (application tracker).

Pebio prepares your documents. Sending your applications and proving them is up to you.