The annual update of the social support index (IAS), which serves as a reference for the values and access rules for different Social Security benefits, was published this Monday in Diário da República.
Following the legal update formula, the IAS reference advances this year to R$552.50, up 2.6%. The update follows the evolution of average homelessness inflation over the last year (2.1%) and additionally benefits from part of the average economic growth over the last two years (plus 0.5%), similar to what the law usually predicts for the lowest levels of pensions – which this year are however reinforced with an additional 1.25 percentage point increase, approved with the State Budget.
The ordinance from the Ministry of Labor, Solidarity and Social Security, published at the beginning of the year, makes the update retroactive to January 1st.
A The evolution of the IAS, remember, is decisive in updating several benefitsincluding the definition of retirement range limits or minimum and maximum unemployment insurance amounts. It also serves as a reference, for example, in access to legal assistance or even in subsidies paid to parties.
The IAS is also used to express the value of the Social Insertion Income (RSI), as defined in a Government decree, although this benefit does not benefit from automatic updating following the increase in the IAS. However, the Government assured that it will update the RSI values “in line with the general update of the price index”, as stated in Parliament at the end of October by Minister Rosário Palma Ramalho. The installment is currently 237.25 euros.
Source: www.jornaldenegocios.pt
