Having a child is expensive but these grants can help your family through it

The Luxembourg government fund, the Caisse pour l'avenir des enfants (CAE) or d’Zukunftskeess, operates an annual budget of nearly €1.4bn, offering new parents and families grants and support, while managing approximately 200,000 cases.

The CAE fund, which offers childbirth and family allowance, serves a public health objective, by ensuring continuous medical supervision for both mother and infant, and aims to reduce pregnancy related risks, lower infant mortality, enhance overall maternal child health, and aid families with the rising costs of living.

The total birth grant amounts offered by the fund are €1,740.09, disbursed in three equal instalments of €580.03. The primary goal of these instalments is to encourage preventive medical care, two for expectant mothers and one for newborns.

Birth grants for non-residents cannot be combined with a similar grant from their country of residence. Unlike family allowances, the birth grant is not supplemented by a differential payment.

In addition to these birth grants, there are family allowances available in Luxembourg.

Below is a comprehensive list of available grants and allowances, along with information on where and how to apply.

Prenatal allowance

The prenatal allowance is a financial benefit to support mothers expecting to give birth, in obtaining essential medical care during pregnancy. To qualify, a pregnant woman must undergo at least, five medical examinations, both obstetric and general, and one dental examination. The results of these examinations are recorded in the maternity record, which is issued to the expectant mother during her first medical check-up.

The prenatal allowance is granted only if the expecting mother is a legal resident of Luxembourg or is covered by Luxembourg's social security system at the time of her final medical examination.

To receive the benefit, the mother must provide certificates from the examining doctor for each medical visit. This allowance is paid directly to the mother. Cross-border workers cannot claim this benefit for their spouse or partner if they do not reside in Luxembourg.

More information found here.

Birth allowance

The birth allowance is provided after a child is born. Important to note, that a child is deemed viable if a medical certificate verifies a pregnancy period of more than 22 weeks. To receive the birth allowance, a mother must also undergo a postnatal examination to assess her health after childbirth. This examination must be conducted by a specialist in gynaecology and obstetrics.

The birth allowance is paid under the same conditions as the prenatal allowance, only to women who are pregnant or have given birth, and only if they are legal residents of Luxembourg or covered by Luxembourg social security at the time of the final medical examination.

Like the prenatal allowance, cross-border workers cannot claim this benefit for a spouse or partner who does not reside in Luxembourg. Both the prenatal and birth allowances may be paid together following the child's birth.

More information on the application process found here.

Postnatal allowance

The postnatal allowance is granted to parents or legal guardians who ensure that their child undergoes two new born examinations, and four follow-up examinations, up to the age of two.

These medical check-ups must be conducted by a specialist in paediatrics, a specialist in internal medicine, or a general practitioner (GP). Your child’s health record, issued at birth by the hospital or registrar, is used to document the results of these examinations.

The postnatal allowance is granted if the child has been continuously raised in Luxembourg since birth or if the child is part of the household of a parent covered by Luxembourg's social security system, through employment or a pension.
According to the Caisse pour l'avenir des enfants (CAE), medical examinations must be carried out within the exact timeframes required by Luxembourg law. Failure to comply, even by one day results in forfeiture of the corresponding portion of the allowance, regardless of the reasons for delay.

Application found here.

Read also – How to claim up to €4,285 in parental leave in Luxembourg

As your children grow

Family allowance, also known as childcare allowance, is available to children who reside continuously and legally in Luxembourg, as well as to biological or adopted children of individuals affiliated with Luxembourg's social security system through employment or a pension.

Exceptions apply to children temporarily abroad if their parent is pursuing higher education, on secondment, engaged in diplomatic service, development work, peacekeeping, or voluntary service. Non-resident children may also qualify if they live in an EU country or a nation with a social security agreement with Luxembourg.

The allowance is paid from birth until your child reaches the age of 18. It may be extended until the age of 25 if the child is enrolled in full-time secondary education, vocational training with earnings below the minimum social wage, or a recognised specialised education programme.

Payments continue during school holidays and for justified health related interruptions to studies. However, entitlement ceases if a child leaves education, earns above the minimum social wage, or in the event of their passing. The family allowance is €299.86 per child per month, regardless of the number of siblings. Children of cross-border workers qualify under this system if their parent began working in Luxembourg after 1st August 2016.

Additionally, an age supplement is provided, with €22.67 per month for children aged 6 to 11, and €55.57 per month for those aged 12 and over.

Payments are made at the end of each month for which they are due, and the procedure and applications can be found here, and also through MyGuichet.