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March 21, 2023
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Vulnerable families will have greater state contributions: Chamber approved package of economic support from the Government

Vulnerable families will have greater state contributions: Chamber approved package of economic support from the Government

As of this month of March, vulnerable families in the country will have greater state financial contributions to ensure their economic security. This, after the approval of a proposal promoted by the Executive, already also supported by the Senate.

In essence, the project contemplates three main lines:

  • Double the Permanent Family Contribution (AFP) in 2023.
  • Permanently increases the Family Allowance (AF) and Maternal Allowance, as well as the Single Family Allowance (SUF).
  • Create the Electronic Family Pocket.

The text was supported by 144 votes in favor and 1 abstention, in the two votes in general. Because it was not the subject of indications, it was also endorsed in particular with the same vote. With this, it was possible to move to the promulgation phase.

family contribution

The Permanent Family Contribution (exbono March) will be paid in a single installment starting this month by the Social Welfare Institute. In the case of beneficiaries who are staff of centralized and decentralized public institutions, the payment will be made together with the remuneration of March 2023.

The extraordinary contribution will be $60,000 for each of the beneficiaries of the Permanent Family Contribution. This, for each family subsidy or family allowance that the beneficiary has as of December 31 of the year prior to its granting, or for each family, as the case may be.

The indicated amount will be added to the current figure of $59,457. Thus, the final contribution to be received will be $119,457.

This contribution will not constitute remuneration or income for any legal effect and, consequently, will not be taxable or taxable. It will not be subject to any discount either.

AF and SUF

Vulnerable families will have greater state contributions: Chamber approved package of economic support from the Government

As of May 1, 2023, the AF-M of the Single System of Family Benefits will have the following values:

  • $20,328 per load, for those beneficiaries whose monthly income does not exceed $429,899.
  • $12,475 per load, for those who have a monthly income greater than $429,899 and not exceeding $627,913.
  • $3,942 per load, for beneficiaries whose monthly income exceeds $627,913 and does not exceed $979,330.
  • Those who exceed the aforementioned amount will not be entitled to the aforementioned allocations.

As of the same date indicated, the SUF will be $20,328 per month.

The family subsidy regulated in this law will be granted automatically when the causers are boys, girls or adolescents under 18 years of age who belong to households of the 40% most socioeconomically vulnerable of the population.

Electronic Family Pocket

As of May 1, 2023 and until December 31, 2023, the so-called “Electronic Family Pocket” will be implemented.

It will be a monthly contribution destined to the purchase or to complement the payments of the purchases of all kinds of products in shops of the food item, as decided by the beneficiary. It will be in favor of the persons causing the AF-M and those causing the SUF, provided that they receive said benefits for having income equal to or less than $979,330.

This contribution will also be received by the causes of the families that use the “Securities and Opportunities” subsystem (Law 20,595). This, as long as they are not beneficiaries of any of the subsidies or allocations just mentioned. For these purposes, the members of these families who meet the following requirements will be considered as responsible:

  • People with disabilities, duly accredited.
  • Students with special educational needs of a permanent nature who participate in the Mineduc School Integration Program.
  • Students enrolled in educational establishments with special education modality recognized by the Ministry of Education.
  • The students from 18 to 24 years old 11 months.
  • Persons under 18 years of age.

Each deceased will be entitled to a contribution of $13,500 per month. Your payment will be made monthly by the Social Welfare Institute through contracted electronic means.

It will apply even when the beneficiary is covered by various pension schemes and performs different jobs. They will receive the same treatment when they are invoked in said capacity by more than one beneficiary. In this last event, the beneficiary mother will always be preferred.

As a general rule, it will correspond to receive it to the beneficiary or beneficiary at whose expense the deceased lives.

The amount will be usable in a single payment (up to the limit corresponding to the available balance) or as a percentage of the purchase. If there is a remaining balance at the end of each month, it will accumulate for the following months.

The greater fiscal expense that the application of this law represents will be financed from the resources of the Public Treasury. In the following years, it will be subject to what the Public Sector Budget Law considers.

reactions

Two hours of debate took place in the Chamber of the Chamber around the project that doubles the Family Contribution (AFP) in 2023, permanently increases the Family Allowance (AF) and Maternal, as well as the Single Family Subsidy (SUF), together with create the Electronic Family Pocket.

Boris Barrera (PC) stressed that the rule is good news for Chilean families. He highlighted the increases that the initiative establishes. Additionally, he maintained that in a country where more than half of the workers earn the minimum wage, measures are required to enable the subsistence of families.

Alberto Undurraga (DC) said that he expects the Government to provide clear and educational information regarding how the benefit works. He explained that there are people who do not really know whether or not they are beneficiaries and how these charges are made.

For Maite Orsini (RD), the initiative is an adequate response from the Executive against a context of inflation, which makes life difficult for the most vulnerable families. Thus, she highlighted the delivery of the benefits contemplated here. “We hope they are approved and reach the thousands of Chilean men and women who are waiting for this help quickly,” she said.

On the other hand, Gastón Von Mühlenbrock (UDI) valued the modifications made to the project. However, he expressed his concern for the middle class, thinking about the precarious economic situation and high unemployment. Along these lines, he called for creating intelligent measures that encourage the country’s economic growth.

Frank Sauerbaum (RN) stated that the month of March is difficult for families, so the proposed instrument is useful. However, he considered it miserable and petty. He criticized the electronic pocket, pointing out that the reality of Cuenta Rut users is ignored, as well as the complexity that it will cause in older adults.

For his part, Jorge Guzmán (Evópoli) appreciated that progress is being made in dialogue and in the face of citizenship. In the same way, he highlighted that the proposal puts minors ahead, with the automation of the delivery of SUF to children and adolescents of the most vulnerable 40% of the population.

Meanwhile, Deputy Rubén Oyarzo (PDG) pointed out that concrete and direct aid is required for the pockets of middle-class people who are talked about so much but who never receive aid from the State and who hopefully make ends meet. He expressed that today the aid is being too focused.

Ministers Mario Marcel and Giorgio Jackson spoke for the Executive. The first, beyond the technical aspects contained in the standard, referred to the middle class.

It is worth mentioning that one of the points mentioned in the debate by the deputies was the need to promote measures for this sector.

In this regard, Marcel indicated that, for this, fiscal resources are required, pointing to the need for the approval of a tax reform. In addition, he noted that, according to a survey published today, 85% of the population is in favor of said measure.

In this framework, he expressed that the Government remains available to discuss the issue. Likewise, he commented that he hopes that progress can be made in this initiative and that this commitment can be fulfilled.

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