New taxes and payout rates will be introduced in Lithuania on January 1. BNS offers an overview of seven key changes.
Due to pension indexation that takes into account rising wages, pensions will grow more than 8 percent as of January. The average monthly old-age pension will stand at 377 euros next year, and it will amount to 399 euros for people with mandatory working experience.
Child benefit payments will rise from 50 to 60 euros, and from 70 to 100 for large families and families on low income or raising disabled children.
Civil service salaries
The basic pay rate for civil servants will grow from 173 to 176 euros, meaning that around 300,000 state officials and civil servants will see their pay rise.
The minimum monthly wage will increase by 52 euros from 555 to 607 euros before tax, brining the after-tax pay from 396 to 437 euros. Around 156,000 people in Lithuania make the minimum wage or less, government figures show.
People earning more than 110,000 euros a year will see their income tax rate go up from 27 to 32 percent. There are over 2,000 high-earners subject to the higher rate in Lithuania.
Real estate tax
Owners of properties worth more than 150,000 euros will now pay the tax which until now applied to real estate of over 220,000 euros. Seventy-five percent of the properties are situated in Vilnius. The government hopes to collect around 2.5 million euros in additional tax revenue.
Fuel excise duties
Due to growing fuel excise duties, the price of petrol will go up by around 0.04 euro per litre. The diesel fuel excise for farmers will increase from 56 to 60 euros per 1,000 litres, meaning that one litre will be around 0.005 euro more expensive.