Higher minimum wage brings increased support for families
From 1 January, new elements of the family tax reduction programme have entered into force, and the amount of family benefits linked to the minimum wage has increased by 11 per cent, further strengthening the financial security of families raising children. As a result of the minimum wage increase, several benefits have risen, including the child care fee, the child home care fee, childcare-related sickness benefits, the amount of state-advanced child maintenance payments, language exam support, and, from this year onward, allowances for foster parents as well.
From January 2026, the minimum wage increased by 11 per cent to HUF 322,800, while the guaranteed minimum wage rose by 7 per cent to HUF 373,200. In line with these increases, the amounts of family benefits tied to the minimum wage have also risen. As a result, the child care fee (GYED), the grandparent’s GYED, the adoption fee, childcare-related sickness benefit (GYÁP), state-advanced child maintenance payments, and the maximum amount of language exam support have all increased. In addition, the child care fee for graduates, the foster parent GYED, and the child home care fee (GYOD) have also risen.
The maximum amount of the GYED, the grandparent’s GYED, and the adoption fee—which may amount to up to 70 per cent of twice the minimum wage and has been exempt from personal income tax since July 2025—increased from a gross HUF 407,120 to HUF 451,920. Among recipients of the child care fee for graduates, students in bachelor’s programmes now receive a gross HUF 225,960 instead of HUF 203,560, while those enrolled in master’s programmes receive a monthly benefit that increased from gross HUF 244,160 to HUF 261,240; these benefits remain tax-exempt. Those entitled to the foster parent GYED can also count on higher amounts: in their case, the daily benefit—also exempt from personal income tax—has risen to a gross HUF 4,143.
At the same time, remuneration for foster parents has also increased. From 1 January, foster parents caring for one child are entitled to 100 per cent of the minimum wage; in the case of caring for two children, they receive 140 per cent of the minimum wage; and for three or more children, they receive 60 per cent of the minimum wage per child.
The child home care fee (GYOD) has increased by HUF 32,000 compared to last year, reaching a gross HUF 322,800. Thanks to the rise in the minimum wage, the maximum daily gross amount of childcare-related sickness benefit has increased to HUF 21,520, while single parents whose child maintenance payments are advanced by the state can now count on more than HUF 96,000 per month at most. The increase in the minimum wage also raises the reimbursable amount for successful language exams: in 2026, young people under the age of 35 may claim back up to a maximum of HUF 80,700 from exam fees.
January 2026 has therefore brought further benefits and support for Hungarian families. With the rise in the minimum wage, the amounts of numerous benefits have increased, while as part of Europe’s largest family tax reduction programme, the personal income tax exemption for mothers under the age of 30 has been expanded, and mothers under the age of 40 with two children have also become exempt from personal income tax. In addition, the amount of the family tax allowance has doubled. As a result, parents earning the minimum wage are able to make greater use of tax allowances and tax exemptions.
For example, in a family with two children where the mother is under 40 and both parents earn the minimum wage, their net monthly income increased from HUF 427,000 last year to HUF 558,000 this year—meaning they retain one-third more of their income than before. It is therefore no coincidence that the majority of Hungarians, especially families with young children, are looking to this year with optimism, as family support measures are set to reach new highs in 2026.
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