Nearly half a million under-25s could be affected by next year’s SZJA exemption
As of 2022, there were an order of magnitude 280,000 people affected by the SZJA exemption for under-25s. This is derived from the age group employment data of the CSO, which measures the average annual employment rate. At the same time, 460,000 young people will be affected by the change, according to NAV’s 2019 return data. One of the reasons for the large discrepancy is that a significant number of under-25s work as seasonal workers or periodically, so they are only partially included in the STATISTICS of the CSO. Of course, this also means that these young people can only be helped intermittently.
According to NAV data, 25-year-olds earned an average of HUF 127,000 (net 84.5) per month gross, noting that casual workers of the age group are pulling down the average. This means that an average monthly net income of HUF 19,000 under the age of 25 can be generated by introducing the discount. Average monthly net earnings among under-25s (in HUF), 2015-2019
If we want a more accurate picture of the expected increase in earnings of full-time workers under the age of 25, a comparison between the minimum wage and the guaranteed minimum wage and those earning the average wage is a good basis. On this basis, young people earning 12.2 thousand HUF per month, those earning the minimum wage 24.2 thousand HUF per month, those earning a guaranteed minimum wage 31.6 thousand HUF per month, and those on average wages can take home 58.6 thousand HUF more per month from 2022.
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