The income limit for the 2026 EV grant

Which band your household falls in, how much room is left before the next cut, and what happens when income sits exactly on a limit.

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

How far is your income from the next limit?

Grant

€4,000

Bandband 2
Room before the next cut€2,000
Amount after that€3,000
Upper limit for this number of children€80,000

Limits are inclusive: income exactly on a limit still gets the higher amount. Worked with a registration in November 2026.

Calculate with every detail →

Germany’s 2026 EV grant depends on the household’s taxable income (zu versteuerndes Einkommen, zvE), not on gross salary. The guideline has three bands: up to €45,000, up to €60,000 and up to €80,000. A battery electric car brings €5,000, €4,000 or €3,000 without children; a qualifying plug-in hybrid €3,500, €2,500 or €1,500. The limits are inclusive: exactly €45,000 stays in the first band, one euro more moves you into the second. Above €80,000 there is only something with children: each qualifying child raises the ceiling by €5,000, up to €90,000 with two. In that range the third-band amount applies. Above the ceiling there is nothing, not even a partial grant. For each adult in the household, the average of the last two income tax assessments (Einkommensteuerbescheid) counts, and the sum is the household income.

The guideline’s table

The funding guideline (Förderrichtlinie) sets the amounts in a grid: rows by income, columns by number of children. Battery electric and fuel cell cars use the first table, plug-in hybrids and range extenders the second. The BAFA overview shows the same values.

Battery electric (BEV): grant by income and children
Household incomeNo children1 child2 children
€0 to €45,000€5,000€5,500€6,000
€45,001 to €60,000€4,000€4,500€5,000
€60,001 to €80,000€3,000€3,500€4,000
€80,001 to €85,000none€3,500€4,000
€85,001 to €90,000nonenone€4,000
Plug-in hybrid (PHEV): grant by income and children
Household incomeNo children1 child2 children
€0 to €45,000€3,500€4,000€4,500
€45,001 to €60,000€2,500€3,000€3,500
€60,001 to €80,000€1,500€2,000€2,500
€80,001 to €85,000none€2,000€2,500
€85,001 to €90,000nonenone€2,500

Each band step is worth €1,000 for a battery electric car, and the same for a plug-in hybrid. Each child adds €500 in every band. The columns show that children work twice: they raise the amount and they move the ceiling.

Edge cases, euro by euro

The cases below are worked out by this site’s engine for a battery electric car registered in November 2026. They show exactly where the jumps are.

Grant at the limits, battery electric
Household incomeChildrenGrant
€45,0000€5,000
€45,0010€4,000
€60,0000€4,000
€60,0010€3,000
€80,0000€3,000
€80,0010€0
€80,0011€3,500
€85,0011€0
€85,0012€4,000
€90,0002€4,000
€90,0012€0

Note the range just above €80,000: a household without children gets nothing there, one with a child gets €3,500. At €85,001 one child is no longer enough, two are. A third child changes nothing, because the guideline counts at most 2 children.

What “taxable income” means

Taxable income is defined in section 2(5) of the Income Tax Act (EStG). It is what remains as the basis for income tax after all deductions. Off gross pay come, among other things: work-related expenses (at least the flat allowance), pension, health and care insurance contributions, donations, church tax and other special expenses, and extraordinary costs. For the self-employed the starting point is profit, not turnover. The figure is on your assessment, usually on page two or three, on the line “zu versteuerndes Einkommen”.

Because deductions vary so much, you cannot reliably derive taxable income from a gross salary. This calculator therefore only asks for the figure on the assessment. If you have no assessment for last year yet, you can file a tax return; only assessments count for the grant, not returns and not the annual payroll tax certificate (Lohnsteuerbescheinigung).

The two-year average

For each adult in the household, the mean taxable income from the two most recent assessments counts; the means are then added. A year with a severance payment or an unusually good business result therefore only weighs half. BAFA names this explicitly as the purpose of the average. The detailed sum with two people and four assessments is on household income. How fluctuating profits play out is under self-employed and company cars.

How much room you have

The small calculator above shows the distance to the next cut. An example: a couple without children averages €58,000. They are in the second band and get €4,000 for a battery electric car. The next limit is €2,000 away; above it they would get €3,000. At €44,800 they would get €5,000, which is €1,000 more. Nothing can be changed after applying, but before that, which two assessments are the latest depends on when you file your return and when the tax office processes it.

Five households compared

The figures in this table are assumptions for the average of two assessments, not typical values for a profession. They show how differently households with similar gross pay can be placed.

Example households, registration in November 2026
HouseholdHousehold incomeChildrenBattery electricPlug-in hybrid
Single nurse€38,0000€5,000€3,500
Single parent teacher, one child€46,0001€4,500€3,000
Couple with one child€83,0001€3,500€2,000
Couple with two children€89,5002€4,000€2,500
Couple without children, two full-time jobs€86,0000€0€0

The couple without children and two full-time jobs is above the limit at €86,000 and gets nothing, although each of them alone would be in the first or second band. The couple with two children is just under the highest ceiling of €90,000 at €89,500 and receives the third-band amount for two children. People who live together count together, married or not; the rules are under household income.

How BAFA checks the limit

BAFA does not work from your own figures but from the uploaded assessments. It only needs a few details from them: addressee, tax ID, date, tax year and the amount of taxable income. Other pages need not be submitted, and you may black out anything not needed, but only on the copy. Assessments may be at most 3 years old, measured by the tax year assessed, not the date the tax office sent them.

What does not count towards the limit

  • Income of adult children living in the household: it is left out.
  • Tax-free payments such as Kindergeld, parental allowance or housing benefit: they are not part of taxable income. Whether they raise your tax rate through the progression clause does not matter for the grant.
  • Wealth: savings, property and investments play no part, only their taxable returns where they appear in taxable income.
  • The car’s price: there is no price cap on the vehicle.

What the grant comes to for a particular car, with list price and net price, is on the grant calculator.

What buyers in Germany ask

What if my income is exactly on the EV grant income limit?

Then the better band applies. The guideline sets the bands as “up to and including”: €45,000 belongs to the first band, €60,000 to the second, €80,000 to the third. Even €45,000.50 falls into the second band. Nothing is rounded; what counts is the average from your assessments, to the cent.

Is the income limit based on gross or net pay?

Neither. It is the taxable income shown on your income tax assessment. That is well below gross pay, because work expenses, pension and health insurance contributions, special expenses and other deductions have already been taken off. People who only know their gross salary usually underestimate how much grant is possible. The right figure is in the calculation on the first pages of the assessment.

Is there any grant above €80,000 household income?

Only with qualifying children. With one child the ceiling is €85,000, with two or more €90,000. Within that ceiling the third-band amount applies, so €3,500 for a battery electric car with one child. Without children the grant stops at €80,000.

Is the grant tapered just above the limit?

No. Amounts jump from band to band, and above the ceiling the grant disappears altogether. There is no sliding reduction. That is why the exact average of your assessments matters: a few hundred euros can decide between two bands, and one euro above the ceiling costs the whole grant.

Does a pay rise after I apply affect the income limit?

No. What counts is the two most recent assessments at the time you apply. Anything that changes afterwards, a higher salary, a new job or retirement, has no effect on the approved grant, including during the holding period. Equally, a later drop in income no longer helps once the application is in.

Related

Guideline, laws and sources

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