fbpx
Facts & Statistics

Hungarians have enjoyed rising benefits

Increase in minimum wage to be accompanied by increased benefits tied to it.

From January 1, the gross amount of the minimum wage and the guaranteed minimum wage increased by 8 percent: to HUF 161,000 and HUF 210,600 respectively. Benefits tied to minimum wage will thus increase as well. 

Hungary now has an allowance for non-pensioner grandparents to take care of their grandchildren while parents are working, which can be claimed by just one grandparent but for several grandchildren at a time. The grandparent can receive up 70 percent of twice the current minimum wage, or HUF 225,288 per month. Those working at minimum wage with certain illnesses are also eligible for a 5 percent tax reduction; the diseases include lactose intolerance, some cases of diabetes, and celiac disease, meaning up to 35 percent of the country’s population could claim the benefit. 

Hungary’s childcare allowance (GYED) is 70 percent of a parent’s previous income, with the maximum allowed being 70 percent twice the minimum wage. Obviously, as the minimum wage increases, the maximum amount of childcare allowance also increases. The benefit can also be received alongside other family support benefits, including allowances for a previous child when a new one is born. Parents are entitled to childcare benefits until the child reaches the age of two or, in the case of twins, three years of age.

Those attending university or other post-secondary degree while raising a child can request an additional allowance as well. Furthermore, if you stop receiving this benefit but have another child in under a year, you can request the allowance yet again. In 2020, the amount will increase to HUF 112,644 for a BA degree and to HUF 147,420 for an MA. 

Finally, 60 percent of your average daily wage will be paid during sick days (50 percent during a hospital stay), but personal income tax will still be deducted. This benefit in 2020 will be 1/30th of twice the minimum wage, or a maximum of HUF 10,728 per day.

Source
origo.hu
Show More

Related Articles

Back to top button
Close