Rewritten Title: Iran Expands Child Benefit Coverage for Retirees and Employees, Removes Family Size Limit
Article:
In a significant update to social welfare policy, Iran’s Social Security Organization has implemented major changes to the child benefit system for its retirees and covered employees. The reforms, detailed in recent directives, have fundamentally restructured eligibility and payment criteria.
Key Reform: Elimination of Child Limit
A pivotal change is the complete removal of the previous cap on the number of children eligible for benefits. Previously, Article 86 of the Social Security Law restricted the “Haq Olad” (child benefit) allowance to only the first two children. This restriction has now been abolished. Under the new regulations, all eligible children, regardless of their number in the family, will be covered by the financial support.
This policy shift aligns with the broader “Law on Amending the Population and Family Regulation Laws,” initially ratified in 2014, which has paved the way for more inclusive family support mechanisms.
Calculating the Benefit
The child benefit amount is calculated based on the minimum wage determined by Iran’s Supreme Labor Council. For instance, using the 2022 minimum wage as a base example, the monthly benefit per child was set at 968,000 Rials. The general calculation formula is: (Minimum Wage × 27) ÷ Number of Eligible Children. It is important to note that this amount is standardized for all employees covered by the labor law and is not tied to an individual’s base salary or seniority.
Eligibility Conditions
- Under 18: Payment is unconditional for all children below the age of 18.
- Over 18: Benefits continue for children above 18 only if they are pursuing higher education or in cases of disability and incapacitation.
- The marital or divorce status of daughters does not affect eligibility, and custody arrangements are also not a barrier to receiving the benefit.
Required Documentation
Applicants must provide foundational documents, including birth certificates and national ID cards for both the insured parent and the children, the previous month’s pay slip, and the social security insurance booklet with the registered national code. Additional documents, such as proof of student enrollment, disability certification, or legal guardianship papers for adopted children, may also be required.
Gender Equality and Dual Entitlement
The law ensures gender neutrality. The sex of either the parent or the child has no bearing on eligibility, and female employees are entitled to receive the benefit on the same terms as their male counterparts. Furthermore, if both parents are employed at the same workplace, each is entitled to receive the child benefit.
Tax and Insurance Status
Effective from the start of the current Iranian calendar year (March 2024), the child benefit amount is subject to income tax. However, no social security insurance deductions are taken from this payment.
Legal Recourse for Employees
The child benefit is considered a legal and non-expiring right. Should an employer refuse to pay the entitlement, employees and retirees have the right to file a complaint with competent authorities, such as the Department of Labor, to pursue their claim at any time.