The benefit can be used to repay housing loans and rent.
Starting in January, the government will help improve the housing conditions of young Hungarians with a new HUF 150,000 housing subsidy, the Ministry of National Economy (NGM) told MTI on Tuesday.
According to the announcement, the government's priority goal is to ensure affordable housing for Hungarian youth and families throughout the country. Therefore, in the framework of the new economic policy action plan, in the case of young employees under the age of 35, in addition to the extremely favorable taxation of HUF 450,000 per year, he decided to create an additional HUF 150,000 per month housing support system.
housing is one of the cornerstones of the government's new 21-point economic policy action plan. According to the 11th point of the action plan, home building should also be supported through the housing support provided by the employer, for which the government provides a tax discount, " they wrote.
, from January 1, 2025, in order to support housing expenses, the employer will, as an extra-salary benefit, over the current 450,000 forint per year discount upper limit, up to 150,000 forints per month, i.e. up to a maximum of 1.8 million forints per year or home loan repayment subsidy for young employees under the age of 35 ," the announcement states.
The new form of non-wage benefit provided by the government can be given with extremely favorable taxation, similar to the SZÉP card, similarly, only 15 percent social contribution tax and 13 percent social contribution tax must be paid afterwards, i.e. only 28 percent tax is charged. The new measure also provides an attractive opportunity for employers to recognize the performance of their employees and support their housing.
According to the information, the benefit can be used to repay housing loans and pay rent.
In case of loan repayment, the employer can transfer the benefit directly to the bank based on the contract, and the rent subsidy can be paid to the employee or the lessor of the property.
government , young people and families, it is introducing further targeted measures: such as the launch of the Rural Home Renovation Program, the introduction of the use of 50 percent of the benefits received on the Széchenyi Rest Card for temporary home renovation, ensuring the use of voluntary pension fund savings for housing purposes, and the maintaining the 5 percent reduced VAT for the sale of new residential properties, " it said NGM.
MTI
Photo: MIKA HEITTOLA
