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AMOUNT OF ADJUSTED ALLOWANCE

Earned income from part-time or gig work has a so-called exempt amount. The exempt amount is 300 euros when the adjustment period is one month and 279 euros when the adjustment period is four weeks.

Of any amount you earn above the exempt amount, half reduces your full earnings-related allowance over the adjustment period.

The exempt amount was 500 euros/465 euros until 30 November 2021.

EXAMPLE: Your full earnings-related allowance is 50 euros per day. You begin part-time work with a monthly pay of 1,000 euros. Because your wages are paid monthly, your application period is one calendar month. Half of your pay above the exempt amount reduces your amount of earnings-related allowance (1,000–300) x 0.5 = 350 euros. This 350 euros is divided by 21.5, which is the standard number of workdays in a month. Your full allowance is reduced by 16.28 euros per day , and your adjusted allowance is 50-16.28=33.72 euros per day. The allowance is paid for each weekday of the adjustment period.

If your earnings during the application period are below the exempt amount, they do not affect your allowance.

Adjusted earnings-related allowance has a maximum amount. Your wages and the adjusted allowance cannot exceed the earnings used as the basis for your allowance.

Earnings from full-time work lasting longer than two weeks cannot be adjusted.

Income earned during a restriction (such as waiting period or sickness allowance from Kela) are also excluded from adjusted allowance.

You can check the amount of adjusted allowance you could receive with the earnings-related allowance calculator.