At its meeting today, the City Council resolved to allocate a total of 22.08 million euros in additional funding for social assistance and the social security contribution for the 2026 financial year. Of this, around €20.49 million is allocated to the social assistance budget and around €1.59 million to the social contribution. This will cover the increased expenditure on statutory social benefits.
The additional expenditure in the area of social assistance relates primarily to benefits under the legislation on basic income support for jobseekers (Social Code Book II), under the legislation on the rehabilitation and participation of people with disabilities (Social Code Book IX) and under the legislation on social assistance (Social Code XII). The main reasons for this are, in particular, an increase in the number of people entitled to support, as well as rising costs for accommodation, heating, care and healthcare.
Under Social Code Book II, expenditure is rising particularly for accommodation and heating. In the first half of 2026, an average of 12,589 benefit households received benefits. When drawing up its budget, the City of Chemnitz had assumed an average of 11,358 benefit households for the whole year.
More money is also needed for the initial furnishing of flats, as well as for education and social inclusion. This includes, for example, school lunches in schools and nurseries, school trips lasting several days and school supplies.
Integration support under Book IX of the Social Code is also leading to higher expenditure. In addition to rising case numbers, higher remuneration rates for service providers are contributing to this. Particularly affected are the costs for school support workers, as well as for assistance and special educational support services,
which enable children and young people to participate in education.
Under Book XII of the Social Code, expenditure is rising in particular for basic income support for the elderly and those with reduced earning capacity, as well as for care and health assistance. More people are reliant on financial support. At the same time, the costs of accommodation, heating and care are rising. In the case of full-time residential care in particular, the benefits provided by care insurance funds are often insufficient to cover the full costs. If those affected are unable to pay the remaining co-payments themselves, social assistance covers the necessary costs to the extent provided for by law.
In addition, expenditure on medical care for people without health insurance is rising. This includes, in particular, Ukrainian beneficiaries. Higher treatment costs and a greater number of eligible recipients are leading to additional expenditure in this area.
The number of people receiving income support is also higher than expected: as at 30 June 2026, 559 people were receiving this benefit. The forecast was for an average of 515 people for the whole year.
There are further additional requirements in the areas of debt counselling and support for the blind.
In addition, the City of Chemnitz must raise around 1.59 million euros more than originally planned for the social security contribution in 2026. Based on the budgetary regulations approved by the Free State of Saxony and the contribution bases for 2026, the social contribution set for Chemnitz amounts to around 67.12 million euros.
The additional expenditure can be fully covered by higher revenues and savings in various areas. For instance, the city of Chemnitz is receiving additional funds due to the increased federal contribution towards the costs of accommodation and heating. Federal reimbursements for basic income support also cover the corresponding additional expenditure. In addition, higher needs-based allocations from the Free State of Saxony are available to cover special burdens in the social sector. These amount to around €9.78 million, which is approximately €3.78 million above the originally planned figure.
Further funds are coming from lower expenditure on accommodation for ethnic German repatriates and in the area of benefits for asylum seekers. In addition, some existing budget freezes are being partially lifted, and the funds thus released are being used to cover the additional expenditure. Savings in other areas of the City of Chemnitz are also contributing to this.
These additional funds ensure that statutory social benefits (mandatory obligations) are covered for 2026.
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