Subsistence minimum changes as of July 2020

Subsistence minimum as of 1.7.2020

As of 1 July 2020, the subsistence level changed. The subsistence minimum affects selected wage, tax and social variables, the amount of which changes either from 1 July of the current year or from 1 January of the following calendar year. Legislatively, this area is covered by Act no. 601/2003 Coll. on the subsistence minimum and on the amendment of certain acts as amended and Measure of the Ministry of Labor and Social Affairs of the Slovak Republic no. 174/2020 on the adjustment of subsistence amounts.

The subsistence minimum amounts have increased as of 1 July 2020 as follows:

• € 214.83 - for an adult,
• € 149.87 - for another jointly assessed adult natural person,
• € 98.08 - for a dependent minor or a dependent child.

Subsistence minimum and quantities from the area of ​​income tax

Tax bonus for a child
As of 01.01.2021 the valid amount of the tax bonus will be as follows:

• Amount € 46.44 per month for a dependent child under 6 years.
• Amount € 23.22 per month for a dependent child from 6 years.

Non-taxable allowance of the taxpayer's tax base
From 01.01.2021 it will increase to the amount of 4,511.43 € per year, respectively amount of 375.95 € per month.
If the taxpayer reaches the tax base of € 37,981.94 (176.8 times the subsistence minimum) and more, the non-taxable allowance per taxpayer is zero.

Tax rate in 2021

• 19% of the tax base, which is up to € 37,981.94 (176.8 times the amount of the applicable subsistence minimum, inclusive)
• 25% of the tax base, which exceeds the amount of € 37,981.94 (176.8 times the applicable subsistence minimum)

The tax for 2021 will not be levied and will not be paid if the taxpayer's total taxable income for 2021 does not exceed € 2,255.72.

Subsistence minimum and social variables

Parental benefit

• If the parent has not received maternity leave, the parental allowance will increase from 01.01.2021 to the amount of € 275.90.
• If the parent received maternity allowance, the parental allowance will increase from 01.01.2021 to the amount of € 378.10.

The child allowance will be in the amount of € 25.50. The supplement to the child allowance in the case when the tax bonus cannot be applied to it will be as of 01.01.2021 in the amount of € 11.96.

Subsistence minimum and records at the employment office
During the period of registration at the labor office, the maximum amount of remuneration for work performed increases from 01.07.2020 to the amount of 214.83 €

Subsistence minimum and early retirement
As of 01.07.2020, if an insured person wants to apply for an early retirement pension, the amount of the early retirement pension must reach at least € 257.80

Subsistence minimum and intangible amounts in the calculation of foreclosure deductions

As of 1 July 2020, the basic intangible amounts for the purposes of foreclosure deductions from wages increased as follows:

• for a person who does not receive a pension: € 214.83 per compulsory (100% of the subsistence minimum), € 53.70 per dependent (25% of the subsistence minimum)
• for a person who does not receive a pension: € 214.83 per compulsory (100% of the subsistence minimum) minimum), € 107.41 per dependent (25% of the subsistence minimum).
• In the case of fines for offenses, it is € 107.41 (100% of the subsistence minimum), € 53.70 per dependent (25% of the subsistence minimum).