Table of contents
Are you receiving Bürgergeld (German basic welfare benefit since 2023, formerly ALG II) and want to start your own business in Augsburg? Einstiegsgeld (German start-up allowance for Bürgergeld recipients, up to 24 months) under § 16b SGB II is your central funding source — paid on top of your Bürgergeld, for up to 24 months, and combinable with an investment cost subsidy. The Jobcenter Augsburg-Stadt, a joint institution of the City of Augsburg and the Agentur für Arbeit with more than a dozen service points across the city, offers this benefit to founders coming out of the benefit system.
Augsburg is Bavaria's third-largest city and a two-thousand-year-old industrial and engineering hub — the historic Fuggerstadt with around 300,000 inhabitants. Industrial anchors such as MAN Energy Solutions, KUKA and Premium AEROTEC shape the location, while the Innovationspark Augsburg bundles carbon, mechatronics and fibre-composite expertise around the Universität Augsburg and the Technische Hochschule Augsburg. Many businesses started from Bürgergeld here are in the technical field and the skilled crafts, and the UNESCO World Heritage sites make tourism a further pillar. The Einstiegsgeld carries you through the start-up phase — and the LfA Förderbank Bayern adds its own state programmes on top (see section 5).
1. What is Einstiegsgeld?
Einstiegsgeld (§ 16b SGB II) is a Jobcenter (German welfare/job placement office) subsidy for Bürgergeld recipients who want to become self-employed on a full-time basis. Unlike the Gründungszuschuss (which is for ALG-I recipients), Einstiegsgeld is paid on top of your Bürgergeld — your Bürgergeld keeps running in parallel.
Important — Einstiegsgeld vs. Gründungszuschuss
| Feature | Einstiegsgeld | Gründungszuschuss |
|---|---|---|
| Legal basis | § 16b SGB II | § 93 SGB III |
| Target group | Bürgergeld recipients | ALG-I recipients |
| Responsible in Augsburg | Jobcenter Augsburg-Stadt | Agentur für Arbeit Augsburg (German Federal Employment Agency) |
| Funding duration | Up to 24 months | Up to 15 months |
| Notable feature | + investment subsidy possible | Higher monthly amounts |
2. Requirements for Einstiegsgeld in Augsburg
- Bürgergeld status: You currently receive Bürgergeld (SGB II, formerly ALG II / Hartz IV)
- Viable business idea: Your venture must be economically viable
- Full-time self-employment: The self-employment should contribute to your livelihood
- Ending dependency on benefits: The goal must be to overcome your need for welfare support through self-employment
Discretionary benefit — no legal entitlement
Einstiegsgeld is a discretionary benefit. The Jobcenter Augsburg-Stadt decides on a case-by-case basis. A convincing business plan and professional preparation are critical to a positive decision.
3. How much and for how long?
The amount of Einstiegsgeld is based on your Bürgergeld standard rate. Typically you can expect 50–75 % of the standard rate as a subsidy.
Example calculation for Augsburg
Standard rate (Bürgergeld): EUR 563/month (single person, 2026)
+ Einstiegsgeld: ~EUR 300–430/month
Funding duration: up to 24 months
+ Investitionskostenzuschuss: up to EUR 5,000 (one-off)
= Double security during your start-up phase
Important: Unlike the Gründungszuschuss, you continue to receive your Bürgergeld during the start-up phase — the Einstiegsgeld is paid on top.
4. The Jobcenter Augsburg-Stadt and how it works in practice
Augsburg is an independent city (kreisfreie Stadt), so for Bürgergeld recipients living in the city itself only the Jobcenter Augsburg-Stadt is responsible — the joint institution of the City of Augsburg and the Agentur für Arbeit. For the surrounding area (Landkreis Augsburg, Aichach-Friedberg / Wittelsbacher Land, Donau-Ries) separate Jobcenters are responsible, so the authority is not the same when you move house.
| Contact point | Address & contact | Area of responsibility |
|---|---|---|
| Jobcenter Augsburg-Stadt | Wertachstraße 30, 86153 Augsburg ServiceCenter 0821 3151-0 (nationwide hotline 0800 4 5555 00) |
Einstiegsgeld, AVGS (Aktivierungs- und Vermittlungsgutschein — German Activation and Mediation Voucher) for Bürgergeld recipients, § 16c investment subsidy |
| Agentur für Arbeit Augsburg | Tel. 0800 4 5555 00 (free) | Gründungszuschuss, AVGS for ALG-I recipients |
| IHK Schwaben (Chamber of Industry and Commerce) | Augsburg | Expert opinion (fachkundige Stellungnahme) for Gründungszuschuss and Einstiegsgeld |
Good to know about the Jobcenter Augsburg-Stadt
The Jobcenter Augsburg-Stadt is a joint institution (gemeinsame Einrichtung) of the City of Augsburg and the Agentur für Arbeit, with more than a dozen service points across the city — its main office is at Wertachstraße 30, 86153 Augsburg (website: jobcenter-augsburg.de).
For the surrounding district (Landkreis Augsburg) the separate Jobcenter Augsburger Land is responsible, not the Jobcenter Augsburg-Stadt.
5. Additional funding: Investitionskostenzuschuss § 16c SGB II
On top of the monthly Einstiegsgeld, you can apply for an Investitionskostenzuschuss (investment cost subsidy under § 16c SGB II) — for things you need to acquire for your self-employment.
- Up to EUR 5,000 as a grant or loan (not always repayable)
- For physical items such as machinery, tools, office equipment and IT
- Vehicles, where they are necessary for the business
- Initial stock / inventory
- Proof of necessity required
Our tip for Augsburg founders
Apply for Einstiegsgeld and the investment cost subsidy together at the Jobcenter Augsburg-Stadt. In the business plan we list your capital requirement — that is the foundation for the investment subsidy. For larger investments beyond the EUR 5,000, it is also worth looking at the LfA Förderbank Bayern (the development bank of the Free State of Bavaria) — for example the Startkredit Existenzgründer (a low-interest investment and working-capital loan with a liability exemption, via your own bank), Bayern Kapital (equity capital for innovative tech start-ups, e.g. from the Innovationspark Augsburg), or the nationwide KfW-StartGeld of up to EUR 125,000 via your bank (in Augsburg, for instance the Stadtsparkasse Augsburg).
6. Step by step to your application
Step 1: Apply for an AVGS
Weeks 1–3First, apply for an AVGS for founder coaching at the Jobcenter Augsburg-Stadt — 100 % free of charge. The coaching is the ideal preparation for your Einstiegsgeld application.
Step 2: Complete the coaching
Weeks 3–10In the AVGS coaching we develop your business model, financial plan and business plan together — online, flexible, with no need to travel to an Augsburg office.
Step 3: Obtain the expert opinion (fachkundige Stellungnahme)
Weeks 10–11The IHK Schwaben or the responsible Handwerkskammer (Chamber of Skilled Crafts) confirms the viability of your venture.
Step 4: Apply for Einstiegsgeld + investment subsidy
Weeks 11–12Submit your complete file to the Jobcenter Augsburg-Stadt (Wertachstraße 30) — before you register your business.
Step 5: Launch your business
After approvalOnce approved: register your business (Gewerbe) and get started. The Einstiegsgeld starts running from the moment of incorporation.
7. Common pitfalls in Augsburg
- Applying too late: The application must be filed before you register your business
- Wrong Jobcenter: The city of Augsburg → Jobcenter Augsburg-Stadt; the surrounding district (Landkreis Augsburg) → Jobcenter Augsburger Land. Mix-ups cost time.
- Weak business plan: Without a convincing viability case, no approval
- Missing expert opinion: The Jobcenter requires an external confirmation (IHK Schwaben, the Handwerkskammer or a BAFA-listed consultant — BAFA: Federal Office for Economic Affairs and Export Control)
- Unrealistic outlook: If the Jobcenter doubts that you can actually overcome your need for welfare support
8. How we support you
Business Start EU (BAFA no. 205985) supports Bürgergeld recipients in Augsburg on the path to self-employment — from the first idea to a successful launch. We don't have a physical office in Augsburg, but we work with you fully online: video consultations, business plan drafting, application preparation.
Our approach for Bürgergeld recipients in Augsburg
- Free intro call: We clarify your situation and the funding options available to you
- AVGS support: We help with the AVGS application at the Jobcenter Augsburg-Stadt
- Coaching: Professional online support from our BAFA-listed coaches
- Business plan: Bank-ready plan for the Jobcenter and the qualified expert body
- Application support: Optimal application for Einstiegsgeld + investment subsidy
The optimal combination for Augsburg
AVGS coaching (free) → Einstiegsgeld + investment subsidy § 16c → BAFA post-launch consultancy (50 % funded)
This maximises your funding and gives you professional support from day one — whether you're in engineering, the skilled crafts or the growing tech scene around the Innovationspark Augsburg.