Service charges (Nebenkosten) make up a noticeable share of the monthly payment for many rented flats. Not every cost can be passed on to you. The law ties the apportionment to an agreement in the tenancy agreement and to a fixed catalogue. Knowing these limits helps you spot errors in the statement more quickly.
Short answer: A landlord may only pass operating costs on to you if the tenancy agreement provides for it (section 556 (1) BGB). The types of cost are set out in a fixed catalogue in the Operating Costs Ordinance (section 2 BetrKV). The statement must reach you no later than twelve months after the end of the billing period. Last updated: November 2026.
The most important points in brief
- Only operating costs that the tenancy agreement makes payable by the tenant can be apportioned.
- Which cost types are meant follows from the catalogue of the Operating Costs Ordinance, which lists 17 numbered items.
- Maintenance and administration are not among the items in the catalogue.
- The statement must reach you no later than twelve months after the end of the billing period.
- You must also raise objections within twelve months after receiving the statement.
What does “allocable” mean?
Allocable costs are costs that arise regularly for the owner from owning the property or from the intended use of the building. Under section 556 (1) BGB, the parties to a tenancy may agree that the tenant bears these operating costs. If the tenancy agreement contains no such agreement, the landlord cannot simply pass the costs on.
The concept therefore works in two steps. First, the cost type must be an operating cost at all. Second, the tenancy agreement must provide for the apportionment. When you read the contract, look for a clause that expressly refers to operating costs.
Which cost types does the catalogue cover?
The Operating Costs Ordinance lists the allocable costs in section 2. The table below summarises the main groups. The wording of the ordinance is always decisive.
| Group | Examples from the catalogue (section 2 BetrKV) |
|---|---|
| Public charges | Recurring public charges on the property, for example property tax (no. 1) |
| Water and drainage | Water consumption, basic fees, meter rental, drainage fees (nos. 2 and 3) |
| Heating and hot water | Operating a central heating system and central hot water supply (nos. 4 and 5) |
| Lift | Operating a passenger or goods lift (no. 7) |
| Waste and cleaning | Refuse collection, refuse facilities, street cleaning, cleaning of shared parts of the building (nos. 8 and 9) |
| Garden and lighting | Care of green areas, outdoor lighting, lighting of shared parts of the building (nos. 10 and 11) |
| Insurance | Property and liability insurance for the building (no. 13) |
| Caretaker and laundry | Caretaker remuneration without maintenance and administration (no. 14), washing machines and dryers in shared facilities (no. 16) |
Some items are narrowly defined. For the caretaker, for example, maintenance and administration are expressly excluded. For antenna and network systems, special transitional rules apply under the ordinance, which you should check in the statute in your individual case.
What is not part of the service charges?
Repairs to the building, maintenance and the landlord’s administration are not allocable operating costs under the catalogue. If you find such an item in the statement, check it carefully. Costs that the tenancy agreement does not make allocable do not belong in your back payment either.
Typical disputes arise over items that look appropriate at first glance but are not named in the catalogue. Compare every line of the statement with the catalogue and the tenancy agreement before you pay. If an item is missing from this comparison, ask in writing on what basis the landlord allocates it. Keep the answer with your papers.
How does the landlord calculate the share?
The distribution of costs among tenants follows the tenancy agreement and the billing rules that apply. The key that applies to you should be recognisable in the tenancy agreement and in the statement, so that you can follow the calculation. Under section 556 (3) BGB, the statement must observe the principle of economic efficiency.
If you owe a back payment, recalculate it. You need the statement, the tenancy agreement, the floor area of your flat and your advance payments. If you are unsure whether the distribution is correct, this is a good reason to check the statement with the guide on reviewing service charge statements.
Which deadlines apply to the statement?
The statement on advance payments for operating costs must be made every year. It must be communicated to you no later than the end of the twelfth month after the end of the billing period (section 556 (3) BGB). If it comes later, a back payment claim is excluded, unless the landlord is not responsible for the late assertion.
Deadlines also apply to you. You must raise objections to the statement no later than the end of the twelfth month after receipt. After that, you can only raise them if you are not responsible for the delay. Note the date of receipt of the statement carefully.
What does this look like in practice?
Some statements are clear, others are hard to follow. A structured approach helps you decide quickly whether to object or accept the statement.
- Check the date of receipt and note the twelve-month deadline for objections.
- Compare each cost type with the catalogue of the Operating Costs Ordinance.
- Check the distribution against the key in the tenancy agreement.
- Send objections in writing and in time to the landlord.
Frequently asked questions
May the landlord pass on administration costs?
Administration is not among the allocable operating costs in the catalogue. The items the landlord passes on to you must match the numbers of the catalogue. Check each line of the statement individually.
Do I have to pay a back payment immediately?
That depends on your tenancy agreement and on whether the statement is correct in substance. If an item is disputed, you can tell the landlord in writing and ask for the reasoning. For larger amounts, get advice first.
What if the statement comes too late?
Under section 556 (3) BGB, a back payment claim is excluded if the landlord does not meet the twelve-month deadline after the end of the billing period, unless the delay is not their responsibility. Note the date of the statement and of your payments.
Can I change my advance payments?
How to adjust advance payments and what to watch for is explained in the guide on adjusting advance payments.
You will find more on costs in a dormitory in the guide Costs in a student dormitory: what rent and service charges include.
What to do now
- Check whether the tenancy agreement expressly makes operating costs payable by you.
- Compare the statement with the catalogue of the Operating Costs Ordinance.
- Note the date of receipt and the twelve-month deadline for objections.
- Object in writing if an item is disputed, and ask for the supporting documents.
Related reading
- Living in a Student Flat: Rent, Shared Flats, Dorms and Housing Benefit
- Checking the service charge statement: deadline, inspection and typical errors
- Adjusting your advance service charge payments (in German)
- Heating costs in a shared flat: who pays what and how it is billed
- Costs in a student dormitory: what rent and service charges include
Sources:
Section 556 BGB, agreements on operating costs (gesetze-im-internet.de, accessed November 2026).
Section 2 BetrKV, catalogue of operating costs (gesetze-im-internet.de, accessed November 2026).
Last updated: November 2026. This guide is general information, not individual advice.
