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How much is a rented flat allowed to cost? This question is raised by cities and administrative districts in Germany in connection with responsibility for the cost of accommodation in accordance with the German social codes SGB II and SGB XII. The local authorities in Germany have to find a balance with limits which are appropriate for costs of accommodation. On the one hand they must finance adequate accommodation for needy citizens and on the other hand they have to keep the costs within a manageable limit. The jurisdiction of the German federal social court stipulates that a coherent policy is required for the determination of the adequate limits for the costs of accommodation. In order to determine reasonable costs of accommodation, Rödl & Partner employs a sound empirical approach which has been repeatedly confirmed by the social courts. In this process special attention is paid to a comprehensible definition of a simply living standard and the possibility of independent updating by the administrative districts or cities.
Christian Griesbach
Partner
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