If you participate in an employment-promoting service organised by the TE Office, you may possibly be paid an increased earnings-related component and expense allowance. The unemployment fund pays the increased earnings-related component and expense allowance on the basis of the TE Office’s labour policy statement. Participation in employment-promoting services is agreed with the TE Offices. 

Increased earnings-related component

The increased earnings-related component is paid for a maximum of 200 days and the amount depends on the level of your daily allowances. The increased earnings-related component is 55 % of the difference between your daily wage and the basic component (37,21 € in 2023). If your monthly wage exceeds a pivot point of 3534,95 euros, the earnings-related component is 25 % of the excess amount.  

Expense allowance

The expense allowance is tax-free income and is paid for those days when you participated in the employment-promoting service. The expense allowance is not paid for periods of holiday from TE services. The expense allowance is normally 9 € / day and is paid for a maximum of five days a week. 

Periods of employment-promoting services for which expense allowances can be paid include: 

  • independent study for immigrants
  • labour market training
  • job search coaching and career coaching
  • work experience and training experience
  • rehabilitation work activity
Increased expense allowance

 Increased expense allowance (18 € / day) can be paid  if you participate in an employment-promoting service outside your commuting zone. This does not apply to rehabilitation work activity, however. Increased expense allowance can also be paid if the service is organised in your commuting zone but outside your municipality of residence and participation causes you accommodation expenses. Receipts for accommodation expenses must be provided with your application.

Earnings-related allowance and studies

Earnings-related allowance can be paid for a maximum of 24 months of periods of study. Unemployment security as support for independent study must always be agreed with the TE Office. The unemployment fund can only pay earnings-related allowance for periods of study on the basis of a TE Office statement. If your studies continue for over two years, you need to transfer to student financial aid, for example.

If the maximum period of earnings-related allowance (300-500 days depending on your work history) is reached during your independent studies, your unemployment benefit will be paid by Kela’s labour market subsidy. After the maximum period is reached, your entitlement to earnings-related allowance can only be re-established after your studies have ended, even if you meet the general requirements for earnings-related allowance during the studies.

Instructions for applying

 Always remember to indicate the days when you were in an employment-promoting service in your application. Holiday periods must also be indicated in your application. 

You can find further instructions on how to complete an application here.