From child to retiree: key changes in 2021 that will touch everyone’s pocket

MMA – 642 euros

As of January 1, the monthly minimum wage on paper increases by 35 euros to 642 euros. The increase “in the hands” is about 20 euros, employees should receive about 468 euros.

A higher MMA also increases the wages you must pay to avoid income tax on allowances. As of January 1, these workers must pay at least € 1,059.30 on paper, € 57.75 more than at present.

As the quarantine continues, the amount of allowances for downtime increases due to higher MMA. As of January 1, it should reach 1.5 MMA, that is, € 963 on paper, 100% refunded. work salary. To date, the 1.5 MMA threshold has been € 910.5 on paper.

Higher MMAs also affect self-employment. The amounts of the contributions to the state social security (VSD) and to the compulsory medical insurance (PSD) depend on this amount. In 2021, the minimum monthly PSD fee will increase from € 2.44 to € 44.81, and the full month business license SSD fee will increase from € 3.05 to € 55.98.

Child’s money – 70 euros

The so-called children’s money increases from 10 euros to 70 euros from January 1. The benefit for children with disabilities, from large and low-income families, increases by 11 euros, to 111 euros.

Pension – 440 euros

It is estimated that the average old-age pension with the required seniority in 2021 will reach 440 euros, and the average pension – 413 euros. Currently, the average old-age pension with the required seniority is € 400 and the average pension is € 377.

The basic amount is 177 EUR.

Next year, salaries should also increase slightly for civil servants, civil servants, employees of state and municipal budgetary institutions, politicians and judges, as the base amount of the official salary is increased from 176 to 177 euros.

The fixed part of the official salary is calculated by multiplying the base amount of the official salary by the coefficient applied to the specific position. Salaries are usually complemented by a variable part of the official’s salary, which depends on the achievement of work goals, as well as bonuses, bonuses or overtime payments if they have worked.

Salary taxes

No changes in taxes or social security contributions are foreseen for next year for employees or the self-employed, but some previously adopted changes will take effect.

As of 2021, the amount of the annual rent will change, above which a progressive 32% will be applied to the excess. GPM rate. This means that the part of the annual income received that exceeds 60 average salaries (81,162 euros) is taxed at the rate of 32%. GPM rate (in 2020 – higher than 84 VMU, that is to say 104,277.60 euros).

In 2021, the amount of tax-free monthly income and the annual NPD formulas will also change.

For residents whose monthly income related to an employment relationship or a relationship corresponding to its essence is higher than the monthly minimum wage (642 euros) valid on January 1, 2021, the monthly NPD in 2021 will be calculated according to the formula: monthly NPD = 400 – 0.18 x (monthly salary of a resident – MMA, valid from 01.01.2021, one amount).

As of January 1, 2021, the monthly NPD formula changes: the coefficient is 0.18 (in 2020 – 0.19) and the size of the MMA is 642 euros (in 2020 – 607 euros).

How these changes will affect wages can be found in Delfi’s spreadsheet.

The Finance Ministry forecasts that salaries will grow 4.1 percent in 2021 and inflation will be 1.4 percent.

New values

In 2021, there are no amendments to the Real Estate Tax Law, but the amounts paid by owners may increase next year due to the massive real estate appraisal carried out in 2020.

“We would like to draw your attention to the fact that this year the tax values ​​of real estate objects are being recalculated, which will take effect from January 1, 2021. Therefore, residents and legal entities will have to calculate the tax on real estate for the tax period of 2021 according to the new tax values ​​established by the Registry Center, ”said Rasa Virvilienė, Director of the Legal Department of the State Tax Inspectorate.

More expensive shipments

As of July 1, 2021, the changes related to the e-commerce package will take effect.

“For example, there will be no import VAT deduction for small shipments (up to 22 euros -” Delfi “), distance trade will appear from third territories or goods imported from third countries, the conditions for distance trade within the EU, etc. ” – said R. Virvilienė.

Therefore, small shipments from China or Russia will have to pay about a fifth (standard VAT rate – 21%) more.

The fumes get more expensive

According to the representatives of the Ministry of Finance, according to the modifications to the Special Tax Law approved in 2018, due to fiscal factors, cigarettes could rise in price by about 0.13 euros per 20 units on average from March 2021.

A pack of cigarillos or cigars can cost around € 0.17 (assuming a pack of 20 grams of taxable product, if the weight is different, the effect on the price is different) and 30 grams of smoking tobacco is around 0, € 42.

Electricity prices

Based on rates approved by the State Energy Regulatory Council (VERT) for customers of the public provider Ignitis, the most popular “standard” rate for a time zone will increase by 2.9% effective January 1. (0.4 ct / kWh) to 14.1 ct / kWh (VAT included), two time zones: 3.9 percent. (0.6 ct / kWh) to 16.1 ct / kWh (days) and 1 percent. (0.1 ct / kWh to 10 ct / kWh (night and weekend).

As you know, more than 5 thousand. Electricity consumers who consumed kWh per year this year had to choose independent suppliers whose prices are not regulated.

Gas prices

As of January 1, domestic consumers who use natural gas for cooking will pay 3 cents more per cubic meter of natural gas consumed, that is, 0.50 EUR VAT included, the fixed part of the rate (paid monthly, regardless of consumption gas) will not change – 0.56 euro with VAT.

For consumers using natural gas for heating, natural gas rates (neither fixed nor variable) remain unchanged.