Can I collect the Minimum Vital Income if I am working? This is the answer

0

Unlike other aids, the Minimum Vital Income It is a non-contributory benefit managed directly by the Ministry of Inclusion, Social Security and Migrations, led, today, by the minister Jose Luis Escriva. Since the Government of Spain launched it almost more than two years ago, to be more exact, it started in June 2020, the IMV has undergone several substantial changes throughout its short life. The latest development has to do with the possibility of reconciling a job with the fact of receiving this monthly amount of money destined to prevent poverty and social exclusion.

This boost to employment, which could benefit 1.2 million beneficiaries from next year, aims to recipients join the labor market without losing the benefit immediately, if not gradually, depending on the number of hours worked. Now, it won’t be until on January 1, 2023 when this alternative can be accessed. But, what does this initiative led by the Executive of Pedro Sánchez really consist of? To understand it, the first thing to know is that it is regulated in the Official State Gazette (BOE) by means of the Royal Decree 789/2022, of September 27.

What people can work and collect the Minimum Vital Income

Another point of special relevance is that among the requirements, it is specified that this financial aid can be accessed whether you are employee as on its own, that is, autonomous. The objective is clear. The person who joins the labor market or increases the number of hours of employment in the event that they are already working, be guaranteed that your disposable income is higher than it would have been without the incentive, with an increase that decreases as labor income increases. Precisely in this sense, it should be underlined that the IMV is already compatible with employment, however, until now it acted as a cut of the benefitthat is, the salary received was subtracted.

Likewise, the incentive of the Minimum Vital Income will be granted automatically, so there will be no need to request it, with the advantage of being able to save bureaucratic costs. In any case, to find out how much money the potential recipient could receive, Social Security will launch a mechanism developed in the form of a simulator to find out how much help will be received once you are working.

How the employment incentive works

At first, the incentive to the IMV is greater, but cAs the salary increases, its growth moderates, until it is eliminated when 170% of the guaranteed income is reached for each type of household. In the case of an adult living alone it would be about 10,030 euros per year, although in the case of a single-parent family with a minor it would be 18,252 euros per year. To understand it better, Social Security gives an example. A single-parent family with a minor who has had no income in the previous year:

  • His Guaranteed Income is 10,737 euros per year, which in this case coincides with the IMV as he has no other income.
  • The following year, the family earns 1,000 euros worth of income from work.
  • When reviewing the IMV, if there were no employment incentive, your IMV would be 9,737 euros (Guaranteed Income of 10,737 – 1,000 euros of earned income).
  • But the employment incentive provides 1,000 euros in this case, so the IMV+ incentive will allow the family to receive 10,737 euros.
  • Your disposable income would be 11,737 euros, the result of: (IMV+incentive = 10,737 euros) + (Salary = 1,000 euros).

Source: lainformacion.com

*The article has been translated based on the content of lainformacion.com. If there is any problem regarding the content, copyright, please leave a report below the article. We will try to process as quickly as possible to protect the rights of the author. Thank you very much!

*We just want readers to access information more quickly and easily with other multilingual content, instead of information only available in a certain language.

*We always respect the copyright of the content of the author and always include the original link of the source article.If the author disagrees, just leave the report below the article, the article will be edited or deleted at the request of the author. Thanks very much! Best regards!

For all the latest news click here

Denial of responsibility! termbeamer.com is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – at amritpaljha@gmail.com The content will be deleted within 24 hours.

Leave A Reply

Your email address will not be published.