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Thursday, 25.04.2024, 15:21
Minimum pay rise to increase Estonian state budget by EUR 3.3 mln in 2016
Expenses of the central government are to increase by 3 million euros, including an increase of labor costs by 1.25 million euros. The expenses of local governments are to grow by 2.6 million euros, the Ministry of Finance said in an answer to an inquiry made the by Ministry of Social Affairs.
The impact of the change on the budgetary position of the government sector is 9.3 million euros, the ministry said.
According to the ministry, the change will increase tax revenue by 8.9 million euros compared to the 2016 state budget draft and the budgetary position of the government sector is to grow by 3.3 million euros.
Analyst at the Finance Ministry's fiscal policy department Margus Tuvikene has previously told BNS that compared to the forecast the minimum pay increase to 430 euros in 2016 would bring an additional 6 million euros to the budget and the increase to 470 euros per month to take place in 2017 would bring an additional 10 million euros.