Law on Financial Support to Families with Children

Published:
08/10/2024
Published in:
News

The Law on Financial Support to Families with Children (hereinafter referred to as the “Law“) was amended on September 30, 2024, and will take effect on November 1, 2024.

The amendments introduce new measures for children born on or after January 1, 2024, primarily aimed at increasing the birth rate and supporting parents in expanding their families. The most significant changes relate to parental and child allowances.

The amendments to the Law provide for the following payments:

  1. For the first child born on or after January 1, 2024, a one-time payment of 500,000 RSD will be made;
  2. For the second child born on or after January 1, 2024, an amount of 600,000 RSD will be paid in 24 monthly installments;
  3. For the third child born on or after January 1, 2024, an amount of 2,280,000 RSD will be paid in 120 monthly installments;
  4. For the fourth child born on or after January 1, 2024, an amount of 3,180,000 RSD will be paid in 120 monthly installments.

The amount of parental allowance is determined based on the child’s birth date and is increased by a fixed sum of 7,500 RSD for the purchase of equipment.

Additionally, mothers who are entitled to parental allowance for the second or third child born on or after January 1, 2024, are also entitled to a one-time assistance payment of 135,000 RSD for the birth of the second and third child. Fathers are also entitled to these rights under the conditions specified in the Law.

On the other hand, child allowance is granted to the parent who directly cares for the child, holds citizenship, and has a residence in the Republic of Serbia for the first, second, third, and fourth child in order of birth, provided that the applicant and their family members do not possess financial assets exceeding the value of two average salaries per employee at the time of the application. Under the amended Law, this applies under more relaxed conditions, meaning that the total monthly income, reduced by taxes and contributions, per family member in the three months preceding the month in which the application was submitted, must not exceed the set threshold, while the previously existing second condition has been removed.

A beneficiary whose child receives an allowance for assistance and care by another person, or an increased allowance for assistance and care by another person, is entitled to child allowance regardless of the fulfillment of financial conditions.

 

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