Παρασκευή 29 Μαρτίου 2024
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Government to pass hefty, 40 percent hike in family benefits

Government to pass hefty, 40 percent hike in family benefits

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The government will do away with benefits to families with three or more children and an income of over 34,000 euros annually, which reached up to 1,500 euros a year, as part of its deal with creditors during the ongoing third bailout evaluation.

But families with fewer than three children will receive higher benefits than before.

Low-income families with only one or two children will benefit from the changes, as the 40-euro monthly benefit per child will rise to 70 euros. Those with two children will receive 140 euros, and those with three children will get 280 euros, as compared to the 242 euros they receive today.

According to the competent social insurance minister, Theano Fotiou, the social welfare benefits budget was increased by 315 million euros, of which 260 million are earmarked for family benefits.

School lunches, daycare centres funded

A total of 40 million euros will be disbursed to expand the nationwide school lunch programme, and 15 million will be spent on creating several hundred new daycare stations.

Hence, there will be a steep, 40 percent increase in the total welfare budget from 650 million in 2017 to 910 million euros next.

One and two-child families benefit

In an effort to rationalise the benefits system and make it more just, there will be a substantial upward adjustment for needy families with one or two children.

The establishment of the income criterion for those with three or more children, with the adoption of a 34,000 euro annual family income ceiling, clearly aims to make the system fairer.

A two-child family that today receives 52 euros a month, or 624 euros a year, will now receive 94 euros a month, or 1,128 euros annually.

Families with three children, which now receive 205 euros a month (or 2,460 euros a year) ,will now receive 187.6 euros a month, or 2,251 euros a year.

The exact details of the benefits levels and qualifications will be enshrined in a bill, to passed into law before Christmas.

The new benefits chart
One child: 40 euro monthly benefit hiked to 70 euros
Two children: 80 euro monthly benefit rises to 140 euros
Three children: benefit hiked from 242 euros to 280 euros with a maximum annual income of 34,000 euros)

Income criteria

The different income brackets for family benefits match those for the current social solidarity benefit.

First bracket:
Families with one child: Income between 0 and 6,000 euros annually
Four-member families: Up to 12,000 family income annually
Five-member families: Up to 13,500 euros annually
Six-member families: Up to 15,000 annual family income

Second bracket
Annual income between 6,000 and 10,000 euros
Four-member family: Between 10,000-20,000 euro annual family income
Five-member family: UP to 22,500 euros annual family income
Six-member family: Up to 25,000 annual family income

Third bracket
Up to 15,000 euro annual family income
Four-member family: Up to 30,000 euro annual family income
Five-member family: Up to 33,750 euro annual family income

To receive the benefit, the maximum annual family income for families with one child is 6,000 euros, 12,000 euros maximum for four-member families, 13,500 euros for five-member families, and 15,000 for six-member families.

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Παρασκευή 29 Μαρτίου 2024