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There will be no monthly allowances for the 1,250,000 children in Bulgaria next year.
GERB abandons its original intention of universal payments and returns the income criteria. The 205 million BGN saved will go towards the additional salary increase promised by Prime Minister Boyko Borissov at the Ministry of the Interior by another 5%, in addition to partially covering the commitment announced by the Minister of Health of a salary supplement of 600 BGN for all the doctors.
This is clear from the changes in the draft law on the state budget for next year, introduced between the first and second reading by the GERB deputies, led by the president of the parliamentary group Daniela Daritkova and the head of the commission of budget Menda Stoyanova.
The change is made after a series of criticisms from experts that it is not good for all children in our country to receive diets, even in a crisis.
“During the broad public discussion on the proposal to withdraw the income criterion for the payment of child benefits, there was a clear DISSENT. The main argument is that the measure is not focused on lower-income families, for whom these benefits would be higher. Representatives of higher-income families defined the measure as an insult to them and as an antisocial policy “, deputies write their reasons.
According to the Ministry of Finance, in 2020 570,000 children will receive subsidies out of a total of 1,250,000. Extending the aid to about 680,000 children would cost the budget an additional 390 million BGN by 2021. Now GERB proposes that the budget be saves part of the funds: 205 million BGN, while increasing the amount of the payment and the monthly income of the family, where it is owed.
According to the new idea, the amount of aid is increasing “significantly”. For a child in the family, it will become BGN 50 from the beginning of 2021, compared to BGN 40 so far. For a family with two children, the payment is 110 BGN compared to 90 BGN at the moment. Family benefits for three children will increase from BGN 135 to BGN 165, for four, from BGN 145 to BGN 185, and so on.
Income from receiving children is also increasing. The full amount of the supplements will be received by families whose income per person is up to BGN 510 (compared to BGN 410 at this time), the proposal reads. 80% of the aid will be paid with an official income of BGN 510 to BGN 650 per person (410 – BGN 510 now).
According to the NRA data for 2019, according to the tax returns filed by the approximately 3 million Bulgarians who have official income, 91.5% of people receive less than BGN 2,000 per month and 72% receive up to BGN 1,000 . however, we have relatively high levels of the gray sector in certain industries, which is not taken into account in the allocation of allowances.
Of the 205 million BGN saved, 77 million BGN will be redirected for the additional salary increase promised by Prime Minister Boyko Borissov by another 5% over the 10% increase established in the project of the Ministry of Finance, it follows from the reasons of the deputies. At the same time, the police protested by 30%, as they believe that they are in the forefront of the fight against Covid-19.
The remaining funds will partially support the allocation of the necessary amount for the next measure announced by the government to combat the pandemic – a supplement to the salary of each doctor of BGN 600 per month, nurses – BGN 360 and nurses – BGN 120. For this purpose, the budget for the health insurance fund will be supplemented by BGN 237 million, part of which will come from saved child allowances.
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