Hungary to retool family support system

Families in need will see their family allowance increased by more than the inflation rate in 2008, Minister of Social and Labor Affairs Mónika Lamperth told Népszabadság. The government allowance in the family support system will now be more need-based.

The family allowance will be raised on average according to the expected inflation rate - 4.5% in 2008 - but will be dependent on the risk of poverty. Families raising one child will receive Ft 12,200 instead of the current Ft 11,700 each month, which is an increase of 4.3%. A parent raising a child alone, however, will receive 7.9% more support, Ft 13,700 instead of Ft 12,700.

The allowance to families raising two children will be raised from Ft 12,700 to Ft 13,300 and from Ft 13,800 to Ft 14,800 if there is only one parent. Families raising three or more children will receive 7.4% more support next year, Ft 16,000 instead of Ft 14,900, and if there is only one parent, Ft 17,000 instead of the current Ft 15,900.

Families raising children with disabilities will receive Ft 23,300. If there is only one parent, the allowance will be raised by 6.1% to Ft 25,900. Families caring for a disabled adult will receive Ft 20,300 instead of the current Ft 19,400.

The ministry also plans on changing the method of payment, and the allowance would no longer be disbursed at the workplace. This would eliminate administrative problems when a parent changes their place of employment, or if the workplace distributing the allowance ceases to exist. Lamperth promised that the State Treasury will transfer the allowance to the families' bank account by the 3rd day of every month, while those that receive the money by mail will receive it by the 10th.

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