Increase in children's allowance and higher in-work benefits threshold

€70 and €50 increases to be implemented in children's allowance scheme


Increases in the children's allowance and in-work benefits thresholds have been announced in this year's Budget 2021 speech.

Under these revisions, families receiving the children’s allowance will benefit from an additional supplement paid for each child in the family.

For families falling below the €25,318 yearly income threshold and receiving the means-tested children’s allowance, a €70 supplement per child will be offered on a yearly basis. For families whose yearly income exceeds the stipulated threshold and thus earning the flat-rate children’s allowance, the supplement will be granted at €50 per child.

The in-work benefits scheme will also be revised, with higher thresholds set for eligibility.

 For working couples the threshold will be increasing from €26,000 to €35,000 and the limit for single parents will be set at €23,000 from €18,200. For couples where only one parent is working, the threshold will rise to €26,000 from €22,000.

4,500 new families will be eligible for this benefit under the updated thresholds.

Read more: Budget 2021: 'Strongly Moving Forward' theme for this year's Budget