Israel Tax Authority Advances Work Grant Payments Ahead of Holidays
The Israel Tax Authority will expedite the second payment of the Work Grant (also known as Negative Income Tax) for the 2025 eligibility year, disbursing over NIS 260 million to approximately 130,000 eligible Israelis. The funds are scheduled to be deposited into recipients' bank accounts on Wednesday, September 9, 2026, ahead of the High Holidays.
The decision to advance the payment was made to assist eligible individuals during the holiday period. The Work Grant is provided by the Tax Authority to employed individuals and self-employed persons who meet specific income and eligibility criteria. Payments are made directly to bank accounts, and applications are submitted online.
Eligibility is individual, meaning both partners in a couple can apply and receive grants if they qualify. Generally, eligibility begins at age 21 for parents with children, and for those aged 55 and over even without children, provided income thresholds are met. For example, a 21-year-old parent with one or two children may qualify if their monthly income is between NIS 2,450 and NIS 7,289. Those with three or more children have a slightly higher income range, up to NIS 8,020. Single parents aged 21 and over with one or two children have a broader income range, from NIS 1,510 to NIS 13,660.
Additional conditions apply, such as not owning an investment property. The annual Work Grant can reach up to NIS 10,260, paid in four installments, meaning each payment could be up to NIS 2,565. Since 2024, an additional "toddler supplement" of up to NIS 500 per month per child under three is available, capped at NIS 6,000 annually per child, and is included in the main Work Grant application.
The original date for the second 2025 payment was October 15, but it has been moved up to September 9. The Tax Authority also noted that around 240,000 envelopes were sent out recently to potential beneficiaries, encouraging them to check their eligibility online. Additionally, employed women born after January 1, 1960, over 60, and meeting eligibility criteria can apply for an advance on their 2026 Work Grant. Applications for the 2024 Work Grant remain open online until December 31, 2026.
