Financing your studies

Deduct part-time studies as advertising costs from tax

If an extra-occupational study has been preceded by a first degree course of study, it is an operating expense or an income-related expense if there is a sufficiently concrete, objectively ascertainable relationship with future taxable income from the intended occupation. (Ministry of Finance)

So those, who have only completed a bachelor's degree, then enter the profession and after several years start a part-time master's program, can deduct the full cost of this as income-related expenses from the tax.

The difference between special expenses and income-related expenses is not only in the limitation to 6,000 euros, but that the income-related expenses can be taken into the next year as a loss carried forward and then deducted there from the tax. However, special editions are deductible only in the year in which they arise.

In order to recover some of the expenses from the tax office, an annual gross income of more than 8,004 euros is required. In addition, the study must serve professional purposes.

 

If the options, mentioned above, are not available or are not sufficient to finance the extra-occupational studies, then a student loan may be an option. The market for student loans has been growing steadily in recent years and you should definitely keep yourself well informed and compare different offers, as the modalities vary substantially.

For example, the Festo Education Fund offers support especially for working people. The state-owned KfW Bank can also be considered if you are under the age of 44 on the life account. Another provider is e.g. Deutsche Bildung

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