What income counts?
We take into account you and your partner’s gross taxable income (the “de facto family”). This means your family income is the total of the following sources of income and social benefits:
- For employees: gross taxable income, plus professional expenses and/or social benefits. To accommodate for holiday pay and year-end bonuses, we multiply the taxable monthly income by a factor of 14/12;
- For self-employed persons: net taxable income, multiplied by a factor of 100/80;
The following also count for everyone:
- Social benefits from health insurance;
- Unemployment benefits;
- Integration income or equivalent;
- Income replacement allowance (IVT);
- All other taxable benefits;
- 80% of money received for maintenance;
Finally, we include the following in our calculations:
- 1x indexed cadastral income for own professional purposes;
- 3x the indexed outside use cadastral income.
Wait a moment. Outside use cadastral income? Never heard of it. “Outside use cadastral income” refers to the buildings and land you own which are not part of your family home. If you have any “outside use” real estate, you have to pass what is known as the “CI test”.
What income does not count?
- All allowances from the Groeipakket;
- Child maintenance payments;
- Movable securities;
- Income and holiday pay from a flexi-job;
- Meal and eco-vouchers.
The following sources of income are likewise not included in the calculation.
- Payments for helping third parties or the elderly, integration payments for people with disabilities, reimbursements by Flemish health insurance;
- Reimbursement for childcare paid for by Kind en Gezin;
- Flat-rate payments for guardianship of unaccompanied foreign minors;
- Arrears relating to a previous year;
- Severance payment for subsequent years and advance holiday pay.
Your family income determines whether you are eligible for social or education allowance. You don’t have to do anything to receive these allowances. MyFamily makes the arrangements in virtually all cases. How does this work? Like so:
Your family income is calculated based on your most recently available tax return. MyFamily receives this information from the Belgian Federal Public Service Finance (FPS Finance). Allowances in 2020 are awarded based on income from 2018.
As we said, MyFamily makes the arrangements in virtually all cases. In exceptional cases you may not have a tax return: e.g. if all of your income was earned abroad, or you are in receipt of an integration income or income replacement allowance (IVT). In such cases, we will provide you with a form that you can use to list your income.
The grant year – i.e. the period in which you receive your social allowance – runs from 1 October to 30 September each year. We use your personal tax return from two years ago to determine whether you are eligible for an allowance during that period. Your social allowance is reviewed every October.
To give a specific example: allowances from 1 October 2019 to 30 September 2020 are based on your 2017 tax return.
Did your family used to have different members? If so, we will recalculate your allowances taking your new family circumstances into account.
If you want to know more about social allowances, you can find what you’re looking for here.
Your education allowance is calculated based on your circumstances as of 31 August prior to the school year for which you are in receipt of the allowance. It is based on your most recently available tax return, which is the income year from 2 years ago.
This means for the 2020-2021 school year, we consider your family circumstances as of 31 Augusts 2020 and your 2018 income.
Would you like more information? Here you can find more information about the Education allowance.
I’ve experienced a drop in income. Am I entitled to an allowance?
If your income is reduced, you may be entitled to an allowance but not receive it. If this is the case, please get in touch with us.
Are you eligible for an allowance? Then your Groeipakket coach will usually ask you to complete a form and include proof of income for a 6 month period.