Spain on the Brink of a Major Family Revolution: Up to 43,200 Euros per Child Planned

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Spain on the Brink of a Major Family Revolution: Up to 43,200 Euros per Child Planned
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Spanish Social Security is preparing a groundbreaking measure that could fundamentally change the lives of families: the introduction of a universal child-rearing allowance. This planned benefit envisions paying up to 43,200 euros per child from birth until adulthood to provide financial relief to families and reduce the costs of raising children. The goal is to implement this support before the end of 2025.

This universal child-rearing allowance of 200 euros per month per child significantly differs from existing benefits. It aims for universality, meaning it is intended to reach all households, regardless of their employment situation or income.

Why the Government is Promoting this Universal Support

The proposal for this comprehensive child benefit is a direct response to the steadily rising cost of living in Spain for years, especially in food prices and housing costs. At the suggestion of Vice-President Yolanda Díaz, the Ministry of Labour emphasizes that raising children should not be a luxury and no household should have to postpone maternity or paternity due to lack of resources.

The benefit is primarily intended for the following groups:

  • Families with children from birth up to 18 years of age.
  • Households of all income brackets, with a prioritization of groups with the lowest incomes being considered.
  • In special situations, such as disability or dependency, payments could be extended beyond adulthood.

Timeline and Application for the Child-Rearing Allowance

The official goal is to approve the measure as part of the overall budget, with payments intended to begin before the end of 2025. However, potential delays due to parliamentary processes could postpone the start by several months. If all goes according to plan, the first applications could be submitted as early as the last quarter of the year.

To make the application process as efficient as possible, Social Security will provide a special online form in its Electronic Office. Personal applications will also be possible at Social Security information centers (CAISS).

The anticipated online application process:

  1. Access the Electronic Office with a digital certificate, ID card, or Cl@ve.
  2. Fill out form PUCR-01 with the data of the minor and the applying parent.
  3. Attach the required documents.
  4. Submit the proof of presentation and keep it.
  5. Receive a notification of the decision within a maximum of 45 days.

For personal applications, only an appointment at a CAISS is required.

Important Documents and Income Requirements

To avoid delays in processing, applicants should have the following documents ready:

  • Family book or birth certificate of the minor.
  • Joint registration certificate (Empadronamiento).
  • Latest income tax return (if economic classes are to be confirmed).
  • DNI or NIE of the parents and, if applicable, proof of the child’s disability.

It is important to note that the scheme may still undergo adjustments before its publication in the Official State Gazette (BOE).

Frequently Asked Questions about the New Family Benefit

To ensure transparency, several common questions and potential scenarios have already been discussed:

  • Compatibility with Minimum Vital Income (IMV): The government has not yet definitively established full compatibility but is considering partial compatibility where excess income would be discounted.
  • Counting as Income for Scholarships or Social Housing: From a tax perspective, the aid could be considered tax-exempt income, but a final decision from the tax authorities is still pending.
  • Birth of a child during the year: Payments of 200 euros per month will begin from the month following the birth, without prorated billing.
  • Limit on the number of children: The draft does not set an upper limit, but there is a discussion about introducing a cap of a maximum of four children to control public expenditure.

Experts advise closely following official information and preparing the necessary documents in advance. It is recommended to subscribe to Social Security notifications to avoid missing information and to be able to benefit from the first round of payments.