Hungary tightens childcare benefits

Parliament yesterday voted to reduce the duration of childcare allowances from three to two years for children born after next May 1, with 199 affirmative votes, 164 dissensions and three abstentions.

Instead of the present 180 days, one year of paid social insurance will be required for parents to be eligible for childcare benefits. Meanwhile the limit for collecting family allowances will be lowered from 23 years of age to 20, effective August 31, 2010.

Family allowances will not rise next year: at present monthly payments are Ft 12,200 for families with one or two children, and Ft 16,000 per child for those with three children.

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