Heating subsidy 2026 explained simply
The heating subsidy for residential buildings offers grants for replacing or installing certain climate-friendly heating systems. Here you will find the most important subsidy rates, requirements, and steps of the KfW funding summarized in a compact and understandable way.
How the heating subsidy 2026 is composed
The funding consists of a basic subsidy and possible bonus subsidies. Not every bonus applies to every applicant.
up to 80% in certain cases
This representation serves for orientation. The individual funding components are not always fully combined with each other.
Heating subsidy 2026: the most important subsidy rates
What changed as of July 21, 2026?
- The basic subsidy remains at 30%.
- The climate speed bonus is currently 16%.
- The income bonus has been tiered to 10%, 30%, or 40%
- For the first dwelling unit, currently a maximum of 28,000 euros in eligible costs applies.
- The former efficiency bonus for heat pumps has been discontinued.
- The former emission reduction surcharge for biomass heating systems has been discontinued.
How high are the eligible costs?
The grant is not automatically applied to the entire invoice amount. Maximum amounts of the eligible costs apply for the calculation.
Change from 2027: For applications submitted as of February 1, 2027, the maximum funding amount for the first dwelling unit will initially be reduced by 750 euros. Further reductions are planned for February 1 and August 1 of each year.
Climate speed bonus: currently 16%
The Climate Speed Bonus may be considered for a self-occupied main or sole residential unit if a specific existing heating system is replaced and professionally dismantled and disposed of.
These include in particular:
Oil heating systems Coal heating systems Gas central heating systems for individual floors Night storage heaters Older gas heating systems Older biomass heating systemsFor applications submitted up to and including January 31, 2027, the bonus is 16%. After that, it will be gradually reduced.
Income bonus for self-occupying owners
In addition to the basic funding, an income bonus may be granted. The decisive factor is the average taxable annual household income.
If there is at least one minor child in the household who is entitled to child benefit, the relevant income limit is increased once by €10,000.
For applications submitted in 2026, the average of the taxable incomes from the years 2023 and 2024 is generally used.
What do 30%, 70%, or 80% mean in concrete terms?
For a single-family house with a maximum of €28,000 in eligible costs, the following amounts result:
The examples serve solely for illustration. The actual grant depends on the specific project and individual funding eligibility.
Which heating systems can be funded?
KfW lists various climate-friendly heating systems and measures. These include in particular:
Funding-relevant heating technology in the GEMA Shop
Depending on the product, system concept, and funding requirements, these product groups may be relevant for a funded heating measure.
Please note: Membership in a product group does not automatically mean that the individual product or the entire purchase price is eligible for funding.
Who can apply for the KfW heating subsidy 458?
The program is aimed in particular at private owners of existing residential buildings in Germany as well as at communities of apartment owners.
Among the basic requirements is, among other things, that it must be an existing residential building. The building application or building notification must have been submitted at least five years prior to the time of application.
This is how the application process with KfW works
The order is important. In particular, the contract and the funding clause must be correctly prepared.
Specialist companies or energy efficiency experts review the project and prepare the confirmation for the application (BzA).
The supply or service contract must contain the required condition precedent or condition subsequent regarding funding.
Submit the application via "My KfW" before work begins on site.
After the funding approval, the system is implemented according to the confirmed planning.
After completion, this is followed by, among other things, BnD, invoices, and the required bonus evidence.
KfW or BAFA – who is responsible?
What is not automatically eligible for funding?
- The mere purchase of a product does not establish a claim to funding.
- A label in the shop does not replace a technical funding review.
- Used heating systems are generally not eligible for funding in the KfW program 458.
- Self-built systems and certain prototypes are generally not eligible for funding.
- Photovoltaic systems and battery storage are not automatically part of the BEG heating subsidy.
- Storage tanks, pumps, controls, and hydraulic components are not automatically eligible individually.
- The legal admissibility of a heating system does not automatically mean that it is eligible for funding under the BEG.
Frequently asked questions about the heating subsidy 2026
How high is the heating subsidy in 2026?
The basic subsidy is 30%. Depending on the requirements, a climate speed bonus of 16% as well as an income bonus of 10%, 30%, or 40% can currently be added.
Can I receive an 80% grant for my new heating system?
Up to 80% is only possible for certain owner-occupiers with a particularly low taxable annual household income.
How high are the maximum eligible costs for a single-family home?
For the first residential unit, eligible costs of up to 28,000 euros are currently taken into account.
Are pellet boilers still eligible for funding?
Eligible biomass heating systems remain part of the heating subsidy. Whether a specific pellet boiler meets the technical requirements must be checked on a product- and project-specific basis.
Are wood gasification boilers eligible for funding?
Certain biomass systems can generally be eligible for funding. However, the type of construction alone is not sufficient. The current technical minimum requirements are decisive.
Are heat pumps still eligible for funding?
Electrically driven heat pumps continue to be among the heating systems that are generally eligible for funding. The respective device and the system must meet the applicable requirements.
Must the funding application be submitted before the start of work?
Yes. For the application, a delivery or service contract is already required, which must, however, contain the prescribed funding condition. The application must be submitted before the start of work on site.
Is a product marked as eligible in the GEMA Shop guaranteed to be eligible for funding?
No. The marking serves as a guide. The actual funding also depends on the applicant, the building, the system concept, the installation, and the funding conditions applicable at the time of application.
Important note on funding advice
This page summarizes the funding conditions that are particularly relevant for GEMA Shop customers, as of September 3, 2026 .
The information does not constitute a funding commitment, legal advice, tax advice, or individual funding advice. Funding programs, funding rates, and technical requirements may be subject to change.
Therefore: Check the funding requirements, involve a specialist company or energy efficiency expert, and prepare the application correctly before starting the measure.