Child Benefits: Significant Increase Planned for 2026

15.08.2025 | Social policy

The Ministry of Labor plans to increase child benefits in the 2026 budget. The goal is to encourage mothers to return to work more quickly.

Снимка от Rodolfo Matias, Wikimedia Commons, под CC BY 4.0

The Ministry of Labor and Social Policy plans a significant increase in child benefits in the 2026 budget, announced Minister Borislav Gutsanov during the celebrations for Varna Day. This is part of an ambitious strategy to address the demographic crisis and encourage young women to return to work faster.

According to Gutsanov, the goal is for maternity benefits in the second year to reach 1100-1200 leva, which is close to the expected minimum wage for next year. Currently, the amount is 780 leva, and if mothers return to work earlier, they receive 50% of it. The minister proposes to increase this percentage to at least 75%.

"The state needs young, educated people, and such financial incentives will help, including in addressing the demographic crisis", said Gutsanov, emphasizing the importance of these measures for the Bulgarian economy and society.

Despite concerns about potential strain on the state budget, the minister assured that preliminary calculations show the economic feasibility of the measures. According to him, under certain scenarios, they may even generate additional revenue.

Gutsanov presented specific calculations: "If we maintain the current level of 780 leva support for the second year of maternity leave and only 10 percent of women return to work, by increasing the percentage from 50 to 75, the state will not only not give additional funds, but on the contrary - it will receive 12.4 million in the budget". He explained that this amount will come from taxes and social security contributions that women will pay after returning to work.

The minister added that even with an increase in benefits and the percentage during the second year, the additional costs for the budget will be about 10 million leva, which he considers an acceptable amount given the potential benefits.

These planned changes are part of a broader strategy of the Ministry of Labor and Social Policy to improve the demographic situation in the country and support young families. The details of the proposals are expected to be finalized in the coming months, before the official presentation of the 2026 budget.