National Insurance Institute Clarifies Disability Benefits for Working Israelis
The National Insurance Institute (Bituah Leumi) has issued a statement reminding recipients of general disability benefits that starting January 1, 2026, individuals can earn up to 8,261 shekels gross per month and still be eligible for benefits, provided they meet other criteria. This change aims to encourage recipients to return to the workforce without immediately losing their financial support.
For those already receiving disability payments who decide to start working, Bituah Leumi emphasized that their assessed disability level will not change solely due to employment. While increased earnings may lead to a gradual reduction in the benefit amount, the system is designed to ensure that the combined income from salary and benefits remains higher than the benefit alone. The calculation considers not only base salary but also additional payments like bonuses and wellness stipends.
A key provision for those re-entering the labor market is a guarantee that if they stop working or their income falls below a certain threshold, they can resume receiving their previous benefit amount without a new medical assessment, as long as their disability status remains valid. Furthermore, if benefit payments were halted due to high earnings, certain related benefits and allowances may continue for up to 36 months.
The statement also detailed current benefit amounts for 2026. A full disability benefit (75% or 100% disability) is 4,711 shekels monthly. Lesser amounts are provided for lower disability percentages, such as 3,211 shekels for 74% disability. Additional allowances for dependents, including up to 1,214 shekels per child and 1,518 shekels for a spouse, can significantly increase the total monthly payment, potentially reaching up to 8,657 shekels for a recipient with a spouse and two children, though final amounts vary based on individual circumstances.
Eligibility for general disability benefits requires meeting medical criteria and demonstrating a reduction in earning capacity, with disability levels set at 60%, 65%, 74%, or 100%. Bituah Leumi urged recipients to promptly report any changes in employment status or income to ensure accurate benefit calculations and access to all entitled rights. Previously, Bituah Leumi had warned about the unavailability of certain operations.
