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Israel Provides Child Allowances to 1.3 Million Families, Impacting Work and Birth Rates
Israel supports 1.3 million families with child allowances and savings deposits, aiming to share child-rearing costs broadly. Research shows these payments influence parents' work participation and have a limited effect on birth rates, especially among certain groups.
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What happened
- 01Israel pays child allowances to 1.3 million families for 3.2 million children, plus monthly savings deposits.
- 02Families with more children receive higher total allowances, but per-child amounts decrease after the fourth child.
- 0328% of Israeli children live below the poverty line, highlighting the social need for child support.
- 04Past cuts to allowances increased labor participation among parents of large families, indicating work incentives matter.
- 05Child allowances modestly affect birth rates, mainly among Arab and ultra-Orthodox women, with little impact on others.
- 06The government aims to balance universal child support with targeted aid to low-income families to encourage work and income growth.
The government seeks to balance universal support with targeted aid to encourage employment and reduce poverty among children.
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