8.65 Billion Euros: Family Benefits Significantly Increased

Family benefits increased by 5.9 percent to 8.65 billion euros in 2024 compared to the previous year, according to new figures from Statistics Austria. Nearly half, 4.2 billion, was allocated to family allowances. The number of children receiving family allowance has decreased.

On average, 1.95 million children received family allowance last year, which is 0.4 percent less than in 2023. The number of mothers and fathers receiving childcare allowance even decreased by 4.3 percent to below 90,000. Expenditures for childcare allowance and parental leave allowance amounted to 1.3 billion euros.

Family Burden Equalization Fund: Reduction Planned

Family benefits are financed from the Family Burden Equalization Fund (FLAF), which was established in 1955 and is largely funded by employer contributions. The government plans to reduce the FLAF to lower non-wage labor costs. Instead, the benefits are to be financed from the budget.

(APA/Red)

This article has been automatically translated, read the original article here.