Funding Your Education in Germany is a key concern for Indian students, and it’s easy to see why Germany has become the most favored study-abroad destination. Most importantly, free education in Germany for Indian students makes it very easy financially, unlike any other Western country. Tuition costs are usually very low or next to nothing in public universities. But students will still have to pay for their accommodation, health insurance, and other day-to-day living expenses. Hence, smart financial planning is needed.
For Indian students pursuing an MS in Germany, funding your education is a game changer. There are many ways in which your education could be supported through scholarships, part-time jobs, student loans or financial aid. However, Germany is one of the countries that provide ample financial ways to make all of this slightly easier for you. This blog exclusively brought to you by letsconnect germany will take you through a complete roadmap to how you can finance your study in Germany effectively and sustainably.
1. Understanding the Cost of Living in Germany
Even though tuition is free or minimal at most public universities, living expenses in Germany can add up. Here’s a breakdown of average monthly costs (approximate values):
- Rent (shared apartment or student housing): €250–€450
- Food and groceries: €150–€250
- Health insurance: €110
- Public transport: €30–€50
- Internet/mobile: €30
- Leisure and miscellaneous: €50–€100
Total estimated monthly expense: €700–€1000
This means you may need around €10,000–€12,000 per year to cover your living expenses. Thankfully, there are multiple ways to meet this requirement.
2. The Blocked Account Requirement (Sperrkonto)
Before boarding the flight to Germany, prospective students will need to prove that they have sufficient funds to support themselves. This is generally done through what is called a blocked account, which is a mandatory requirement for a student visa application.
So what is a Blocked Account?
A blocked account prevents withdrawal of a small amount each month (i.e. presently €934) to show that you are able to maintain yourself for the first period of at least one year, with an amount sort of around €11,208 (in the year 2025) deposited into such an account.
How it works?
The account has to be opened before applying for the visa.
Some companies offering services for quick online opening of blocked accounts for students include Fintiba, Expatrio, or Coracle.
Although it’s a considerable upfront amount, this is your money, and you will use it to cover your monthly expenses once you arrive in Germany.
3. Scholarships for Indian Students in Germany
Germany offers a wide range of scholarship opportunities to foreign nationals, including Indians. The scholarship is for tuition (where applicable), living expenses, and sometimes even travel costs.
Top Scholarship Options
DAAD (German Academic Exchange Service)
- One of the largest scholarship providers in the world.
- Offers scholarships for Master’s, PhD, and even short-term research programs.
- Monthly stipend up to €934 and other benefits.
Erasmus
- EU-funded program that offers financial support for exchange students.
- Applicable if your German university is part of the Erasmus network.
Heinrich Böll Foundation
- For students with strong academic records and a commitment to social or political causes.
- Provides up to €850 per month and additional allowances.
Konrad-Adenauer-Stiftung
- For students who demonstrate academic excellence and political/social engagement.
- Covers tuition fees, living expenses, and provides mentoring.
Friedrich Ebert Stiftung
- Offers scholarships to students from developing countries.
- Focuses on students with exceptional academic performance and leadership qualities.
University-Specific Scholarships
Many German universities offer their own scholarships. For example:
- RWTH Aachen’s “Study Abroad Scholarship”
- TUM International Student Scholarship
- DAAD partner scholarships specific to universities
Always check the official university website and the DAAD scholarship database for the latest offerings.
4. Part-time jobs and Student Work Opportunities
Working part-time is one of the most popular and practical ways to fund your living expenses while studying in Germany.
Rules for Student Employment:
- Allowed to work 120 full days or 240 half days per year.
- No need for a separate work permit for student jobs.
- Must not interfere with your studies.
Popular Part-Time Job Options
- Research/teaching assistants at universities
- English tutors
- Library or admin work at the university
- Jobs in cafes, supermarkets, or delivery services
- Internships (paid or unpaid) relevant to your field
Most part-time jobs pay between €10–€15 per hour, which can help cover a large portion of your living costs.
Pro Tip: Focus on finding HiWi (student assistant) jobs within your department. These are not only better paying but also help build your resume.
5. Student Loans for Indian Students
If you are unable to cover your initial expenses like the blocked account or travel, student loans can be a viable solution. Several Indian banks and financial institutions offer education loans for Germany.
Top Indian Banks Offering Education Loans
- State Bank of India (SBI)
- HDFC Credila
- Axis Bank
- Punjab National Bank (PNB)
- ICICI Bank
Key Points to Remember
- Loans usually cover tuition (if any), living expenses, travel, and insurance.
- Interest rates vary between 8%–12% depending on the bank and collateral.
- Some banks may require a co-signer or security (like property).
- Compare different banks for the best interest rates and repayment terms.
You can also explore non-banking financial institutions (NBFCs) and fintech platforms like Leap Finance or InCred that offer Germany-specific student loan products.
6. Internships and Industrial Training
Internships are an excellent way to gain work experience, earn money, and enhance your chances of landing a full-time job after graduation.
Benefits:
- Internships in Germany are often paid, especially in technical fields.
- They provide insights into German work culture.
- Some programs (like DAAD Rise) offer fully funded internship opportunities for Indian students.
Companies like Bosch, BMW, Siemens, and SAP offer internships to international students. Make sure your internship is registered and doesn’t conflict with your allowed workdays as a student.
7. Financial Planning Tips for Indian Students
Managing your money smartly will ensure a stress-free academic journey. Here are some essential tips:
Budgeting
- Track your monthly expenses using apps like Mint, You Need A Budget (YNAB), or German-specific apps like Finanzguru.
- Save on groceries by shopping at discount chains like ALDI, Lidl, or Penny.
- Opt for semester tickets for unlimited public transport access at a discounted rate.
Bank Accounts
- Open a German student bank account upon arrival. Popular banks include:
- Deutsche Bank
- N26
- Commerzbank
- Sparkasse
- Deutsche Bank
These accounts often come with no monthly fees for students.
Health Insurance
- Health insurance is mandatory in Germany.
- Choose between public health insurance (TK, AOK) or private options (like Mawista for older students or language course attendees).
- Budget around €100–€120 per month.
8. Post-Study Work Opportunities: A Long-Term Financial View
In the long run, education investment in Germany is happy. Candidates are entitled to work on an 18-month post-study work visa after their program in Germany to find employment related to their field.
When employed, an MS degree holder can expect to find work within Germany with salaries ranging from €45,000 and €60,000 per annum, depending on the area of work and type of industry. There are certain well-paid fields like IT, engineering, and data science.
Another thing is that you can apply for the EU Blue Card, which can facilitate your path to permanent residency, or German citizenship.
9. How lets connect germany Can Help
A walk in the park becomes an uphill task considering the financial and administrative setup for the stay for studies abroad. That is where letsconnect germany comes in.
We provide tailored assistance for Indian students in:
Blocked account creation
- Advisory on scholarships and funding opportunities
- Part-time job search assistance
- Education loan assistance
- Application and visa help
Letsconnect germany will help you achieve your goal of studying in Berlin, Munich, or any other bustling city in Germany with a touch of reality from a financial standpoint.
Conclusion
Studying in Germany does not necessarily mean placing an unreasonable financial burden upon oneself. If planned appropriately, the right combination of scholarships, part-time jobs, and student loans can help manage finances efficiently. The charm of free education for Indian students in Germany sky-rockets when coupled with cheap living and good prospects for going onwards toward another level in life.
Those planning for an ms program in Germany , German land, offers superb and world-class education-type avenues that eventually lead to a bright future. Starting from the day of an application till you land your first job in Germany, we will be there guiding you through this entire journey with platforms like let’s connect Germany.