The Social Support Index (IAS) will increase by a further €37.23 in 2023 to 480,43€, which corresponds to an increase of 8.4%. This rise is projected above the inflation forecast for the next in the 2023 State Budget.
What is IAS?
The IAS is the acronym for Social Support Index, that is, it is the reference value for the calculation and determination of various social supports. Some of the support covered by this index are family allowance, unemployment benefit, social insertion income, among many others.
What will change?
Currently, the IAS corresponds to € 443.20. With the increase of 8.4% this value goes to € 480.43, which according to the Public Finance Council is above the projected inflation of 7.8%.
The measure will benefit 1.6 million of people and will have a budget cost of EUR 155 million.
How did it come?
The IAS emerged through Law 53-B/2006, of 29 December, during the Government of José Sócrates. Before the creation of the IAS, the monthly minimum wage was the source for calculating numerous social benefits. On 1 January 2007 the IAS entered into force for the first time, for the amount of 397.86 euros.
Although it is stipulated in the law that the value of the IAS must be updated annually, depending on the value of GDP and inflation, the truth is that it has been frozen for several years, being rarely updated in the last 14 years.