Working out household income for the 2026 EV grant

Four assessments, two averages, one sum: this is how the figure the grant depends on is built, and how to tell who belongs to your household in the first place.

Worked through by Radif Partners · Editorial policy · How we calculate

Four tax assessments, one household income

Household income

€59,000

Average, person 1€44,000
Average, person 2€15,000
Grant, battery electric, no children€4,000

With a joint assessment, one combined figure appears for each year: enter it for person 1 and leave person 2 at 0.

Calculate the grant →

For Germany’s 2026 EV grant, what counts is not the applicant’s income but the household’s. The household is the applicant, their spouse or registered partner, and a person they live with in a marriage-like relationship (eheähnliche Gemeinschaft). Such a relationship is presumed when two unmarried adults share a main residence; it can only be rebutted with a statement that they keep their finances permanently separate. For each of these people, the average taxable income (zu versteuerndes Einkommen) from the 2 most recent income tax assessments (Einkommensteuerbescheid) is taken, and the averages are added. An example: Lena has €41,000 and €47,000, Tom €9,000 and €21,000. Their household income is €59,000, and the grant for a battery electric car without children is €4,000. Income of adult children does not count, and in a flatshare each person is their own household. A household can make at most 2 applications.

Who belongs to the household

BAFA describes a household as one person or several people who permanently live and manage money together. For the grant, though, only certain adults are counted. BAFA’s household diagram sums it up:

  • The applicant, to whom the car is registered.
  • A spouse or registered partner living in the same household.
  • A partner in a marriage-like relationship: presumed for two unmarried adults with the same main residence.

Not counted: children, including adults with their own income, parents or grandparents living in the house, and flatmates who keep separate finances. Children under 18 only matter through the number of children, not their income; how that works is under children bonus.

The sum in three steps

  1. For each person in the household, find the 2 most recent income tax assessments and read the line “zu versteuerndes Einkommen” on each.
  2. Average per person: add both figures and halve them.
  3. Add the averages of everyone. That is the household income BAFA uses to set the band.
Example: unmarried couple sharing a flat
PersonOlder assessmentNewer assessmentAverage
Lena€41,000€47,000€44,000
Tom€9,000€21,000€15,000
Household€59,000

At €59,000 Lena and Tom are in the third band and get €4,000 for a battery electric car. Had Lena lived alone, her €44,000 would have meant €5,000. Had Tom lived alone and applied, it would have been €5,000. Because they live together, only the joint figure counts, whichever of them applies.

Why an average is fairer than one year

A single year can mislead: starting work after university, a year of parental leave, a severance payment, a year of high profit. The average smooths that out. In the example, Tom would have €21,000 on the newer assessment alone and €9,000 on the older one; the mean is €15,000. Compared with using only the last year, household income moves by several thousand euros, and that can change the band.

Joint assessment and marriage

Married couples assessed jointly receive one assessment with a combined figure, which serves as proof for both. For the sum it makes no difference, since everything is added anyway: whether two people have €35,000 each or a joint assessment shows €70,000, the household income is the same.

A change between years needs a little more care. A couple has two individual assessments of €36,000 and €30,000 in the first year and a joint one of €70,000 in the year they married. Household income is then (€36,000 + €30,000 + €70,000) divided by two, or €68,000. For a battery electric car without children that gives €3,000.

Flatshares: each person on their own

When several adults share a flat and are financially independent, each is a separate household. In a three-person flatshare with €24,000, €51,000, €83,000, each person has their own entitlement:

Flatshare with separate finances
FlatmateOwn incomeGrant, battery electric
Person 1€24,000€5,000
Person 2€51,000€4,000
Person 3€83,000€0

With two flatmates, the presumption of a marriage-like relationship applies first. It can be rebutted if both permanently keep separate finances, with no shared budget and no support for each other. You state this yourself in the application.

Special cases

  • Partner without an assessment: anyone not required to file a return can file one voluntarily. With no taxable income, the assessment shows €0, and that is enough as proof.
  • Separation: people who live and manage money apart no longer form a household; what counts is the situation when you apply.
  • Assessments for different years: each person uses their own two most recent assessments. They need not cover the same years but may not be more than 3 tax years old.
  • One-off payments: severance and similar payments count where they are part of taxable income. The two-year average softens their effect.

Common mistakes in the sum

  • Entering only your own income: if you live with a partner, their average always counts too, even if only one name is on the registration.
  • Using gross pay instead of taxable income: the payroll tax certificate shows gross pay, not taxable income. Only the assessment counts.
  • Counting a joint assessment twice: a joint figure covers both partners and is not added again for the second person.
  • Missing the newest year: once a newer assessment arrives, it replaces the oldest. Which two are the latest is decided on the day you apply.

Two applications in one household

Each person can receive the grant once, a household at most 2 times. If a couple buys two electric cars, each can apply, both on the same household income. Each car must be registered to the person applying and stay registered to them for 36 months. How the application works and what documents you need is under how to apply. If you moved to Germany recently and have few German assessments, see new to Germany.

What buyers in Germany ask

Does my partner’s income count if we are not married?

Yes, if you live together. When two adults share a main residence and are neither married nor in a registered partnership, BAFA presumes a marriage-like relationship, and both incomes belong to the household. You can rebut that with a personal statement if you keep your finances permanently separate, as in a flatshare with separate budgets.

How do I work out household income with a joint tax assessment?

Couples assessed jointly receive one assessment with a combined taxable income. That assessment is enough for both partners. Take the combined figure for both years and average it; the result is the same as averaging each person separately and adding. In the small calculator, enter the combined figure for one person.

Is my adult child’s income part of household income?

No. Working children who still live at home are not counted, even if they are adults and earn well. The same goes for the income of children under 18. Only you and your partner count. An adult child can, however, apply in their own right if the car is registered to them.

We married last year: which assessments count?

The two most recent assessments per person, of whatever kind. For the year before the wedding that is usually two individual assessments, for the year of marriage often a joint one. Added and halved, you get the same household income. With €36,000 and €30,000 separately and €70,000 jointly, it is €68,000.

Can two people in one household each get a grant?

Yes. A household can make 2 applications, and each person can receive the grant once. Both are assessed on the same household income. Each car must be registered to the person applying, and each person must keep to their own holding period.

How does household income work in a flatshare?

When several adults share a flat but are financially independent, each counts as a separate household for the grant. Each can apply for themselves if the car is registered in their name and their own income is under the limit. With only two people sharing, however, the presumption of a marriage-like relationship applies first and must be rebutted with a statement.

Related

Guideline, laws and sources

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