Child Allowances to Increase As Part of UTJ Deal

Cash-strapped parents to receive nearly double the current monthly child allowance rate in 2016. UTJ: It's a good deal.

Tova Dvorin,

Jewish children (file)
Jewish children (file)
Tova Dvorin

Israel's child allowance stipends will return to 2013 levels during the 20th Knesset, Channel 2 reports Thursday, as part of the coalition agreements between United Torah Judaism and Likud. 

Yesh Atid chairman and Finance Minister Yair Lapid had cut back child allowances, which are state payments to all parents for each of their children, during the previous Knesset - angering haredi voters who tend to have large families and other struggling parents alike. 

Now, however, the child allowance will jump in 2016. 

According to the agreement, parents of one child will now receive 175 shekels ($45.25) per month instead of 140 shekels ($36.20); parents of two children, 438 shekels ($113.25) versus just 280 ($72.40); three children, 701 shekels ($181.25) instead of 420 shekels ($108.60); four children, 964 shekels ($249.26), versus 560 ($144.80); and five children, 1,139 shekels per month ($294.51), versus 700 ($181). 

Benefits will also be paid retroactively in January 2016 to include every month from May 2015, when the government was sworn in. This means, for example, that a family with three children will receive 2,000 shekels ($517) for this period and a family with seven children will receive 4,000 shekels ($1034.27) in a lump sum.

The retroactive payment alone is estimated to cost the State of Israel 1.5 billion shekel ($387 million). 

"I think the agreement we have is a good agreement, although not an easy one," UTJ chairman MK Yaakov Litzmann stated Thursday night. "There are many social matters discussed in it, such as the child benefit and dental procedures , and other matters which help the wealth gap."




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