One of the conditions of entitlement to income support benefit concerns the level of your income. Incomes from work and other sources are taken into account in the calculation of income. Ownership of a car, property or financial assets are also taken into consideration. Every income has a different influence on the benefit amount you will receive.
In order to verify how your income does influence the rate of the benefit - access the simulator for income support calculation.
Please note, incomes from all family members are taken into account. In particular cases, eligibility might be examined separately from the spouse, for more information click here.
Income from work
Couple's income from work as employees or self-employed, pension or wage-replacing benefitMaternity allowance, risk pregnancy benefit, injury allowance or severance pay. is partially deducted from the benefit. Here is an explanation of benefit calculation method for someone who earns income from work.
Income not from work
The amount of incomes not from work of both spouses is deducted in full from the benefit.
Incomes not from work are:
- Payments and allowances from the National Insurance Institute or from other entities
- Return on capital
- Assets - all assets are taken into account for benefit calculation purpose, including assets that do not produce income (except the apartment of the insured)
Income excluded
The following incomes are not taken into account: child allowance, disabled child allowance, attendance allowance for the disabled, mobility benefit, long term care benefit, maintenance allowance to widows and orphans, special benefits for the disabled victims of work injury, allowance or benefit paid to the needy under the Aid Services Law, and payments made by the World Jewish Congress to Righteous Gentiles.
Maintenance (Alimony)
A person who pays alimony established by a court order, and does not actually live with his spouse or his children who are entitled to alimony, and who has income from work or from other sources - the National Insurance Institute takes in consideration his fixed monthly expense of alimony payment, therefore the sum of alimony that he pays on a monthly basis is deducted from the amount of his income (but not more than the amount on income support benefit, according to this rates table).
The amount of his income take into account for the calculation of the benefit due to him, is the sum obtained after deduction of maintenance payments.
Vehicle as of Jan 01, 2024
- If you own or use a vehicle (including motorbikes) that is worth less than NIS 42,366 (as of Jan 01, 2022) NIS 44,611 - you may be entitled to a benefit.
If you own or use a vehicle (including motorbikes) that is worth more than NIS 42,366 (as of Jan 01, 2022) NIS 44,611 - you may be entitled to a benefit in certain cases. For more information, click here. - If you have reached retirement age, receive a survivors pension or a dependents benefit with income supplement - you may be entitled to a benefit if you own or use one car that is worth less than {11107}. For more information, click here.
If you own or use a car worth more than {11107} or two cars - you may be entitled to a benefit in certain cases. For more information, click here.
The vehicle's worth is determined according to car's price list of "Itzhak Levy" and based on the details of the car license: model, production year, owners and the likes. The price is established with the price list of either January or July (whichever is closer).
Deducting car's value from the benefit amount
From the benefit is deducted a sum calculated upon the car's worth, employment status and income level. To understand the calculation method of the benefit amount due to a car owner, please following the following steps:
Step 1
Deduction to the value of the car according to employment status:
- For an employee or a self-employed with a monthly income above NIS 3,134 - we deduct from the car value a sum of NIS 18,960 (credit on car value).
- For an employee or a self-employed with a monthly income below NIS 3,134 - we deduct from the car value a sum of NIS 10,037 (credit on car value).
- For a worker who reached retirement age and has a monthly income above NIS 2,131 - we deduct from the car value a sum of NIS 18,960 (credit on car value).
- For a worker who reached retirement age and has a monthly income below NIS 2,131 - we deduct from the car value a sum of NIS 10,037 (credit on car value).
- Those who are not working and reached retirement age, as well as beneficiaries of a dependents benefit or survivors pension with income supplement increment - need to reduce the value of the car by NIS 10,855 (credit on car value).
Please note, a change in you income due to layoffs, resignations or lowered wage will not modify the rate of credit on the car value during the month of the income change and the two following months. This, on condition that there was eligibility for income support benefit during the three months preceding the change (this condition applies to a person who does not work, only if he is entitled to unemployment benefits).
Step 2
After deducting the amount of the credit on car value (as above in Step 1) - one must calculate 3% of the amount obtained after the deduction.
Step 3
The amount obtained in step 2 must be deducted from the amount of the benefit, wo which you were entitled if you were not owning a car. For benefit rates table.
In case the car is owned by a childThe son or daughter of an insured person (including foster child, adopted child and grandchild supported entirely by the insured person, except for a married child) who meets one of the following conditions: *up to age 18; *if completing his studies at a post-elementary educational institution or studying for the high school diploma, or having a learning disability and studying in a framework recognized by the NII– up to age 20; *if in a pre-army IDF framework – up to age 20;* if a volunteer in a framework of public service for up to 12 months and his army service is deferred due to this volunteering – up to age 21; *if serving compulsory service in the IDF – up to age 24; *if serving in the voluntary National Service – up to age 24;*if studying in an "atuda" framework and deferring army service due to studies – up to age 24.
, and the child has income from work - we deduct from the benefit a certain amount on account of the car (based on the car's worth and the fact the child is working). However, nothing is deducted from the benefit because of his income from work.
Financial assets
The amount of income from financial assets is determined based on the rate of interestAverage of the daily yield of short-term loans as published by the Bank of Israel in the course of the two years that preceded the 30th of November of every year. in the economy, family status, number of children and age of the person claiming the benefit.
At your disposition, a simulator to calculate the amount of the benefit to which you are entitled based on your income from financial assets.
Real estate
The sum of income for RE property is determined by its purpose (farming, residential, commercial), in accordance with the value of the property determined by a certified assessor, send on behalf of the National Insurance Institute, and with your family status and the number of your children.
If you own a RE property, you can check your entitlement to a benefit at your local NII branch.
The details of calculating the amount of income from financial and real estate assets, which is taken into consideration for purposes of examining eligibility for the benefit, can be found in Income Support Regulations (in Hebrew), section 10 and addendum.