Upgrading the salary cap entitling family salary collection is under discussion in the government, between $283,220 and $404,062. The difference determines that more or fewer registered workers can collect the family allowance.
It’s because in the next few days it should raise the salary ceiling which entitles you to receive the family salary between employees and the self-employed. By law, that limit is adequate once a year – in March – according to the annual evolution of the RIPTE (Taxable Remuneration of Permanent Workers) starting from the previous October.
Thus, starting in March, the individual income ceiling it should rise to $283,220, up from $158,366 today. An increase of 78.84% less than the evolution of wages and inflation.
An annual adjustment with inflation hovering around 100% led month to month Hundreds of thousands of parents will stop receiving the family salary.
Therefore, this adjustment would allow parents to 1.5 million boys and girls – data from January – they return to collect the family salary per child that they were losing in the last 12 months due to inflation and the evolution of salaries that have left the ceiling of $ 158,366 far behind, all the more so with the delay representing the l ‘adjustment of values in March with interannual indexes in October.
Then, as of April 2023, the leak would repeat again as it would need to wait until March 2024 for the new limit adjustment.
In the meantime, a double discussion has begun among specialists and within the Government itself because it is proposed that the ceiling adjustment be applied on a quarterly basis and be equal to the income tax pay plan which is $404,062. This would imply implementing this change through a DNU.
Is that given this gap between the family salary ceiling and the earnings floor, despite the increase in March, there would be boys and girls who would be left without any kind of coverage because their parents will not receive child benefit because their income will exceed the new ceiling nor will they be able to deduct it from profits because they will not be affected by this tax.
If the individual income ceiling for collecting child benefits ($283,220) were unified with the minimum level from which income tax is taxed ($404,062), approximately 590,000 parents of 945,000 boys and girls They could be incorporated into the child benefit system, according to social security data.
Another distortion concerns the amount of Family Allowances which is adjusted for quarterly mobility. At 17.04%, the amount of family salary per child has an increase -March 2022/March 2023- of 79.8%, even under inflation and wage developments.
Source: Clarin
