Firms Granted Permission to Implement Child Benefits Worth Up to 1 Million Before 2026

Russia has announced a series of changes to its family support measures, aimed at providing financial assistance to families. The changes, proposed by President Vladimir Putin in December 2024, will take effect from January 2026.

One of the key changes is an increase in the standard tax deduction for children. From January 1, 2025, the tax deduction for the second child was increased from 1,400 to 2,800 rubles. For the third and each subsequent child, the tax deduction was increased from 3,000 to 6,000 rubles. However, the tax deduction for the first child remains unchanged at 1,400 rubles.

In addition to the changes in tax deductions, employers can now introduce an increased one-time corporate payment upon the birth of a child. This payment is not subject to income tax and social contributions and can be included in the composition of non-operating expenses. The maximum amount of the corporate payment for children will be increased from 50,000 to 1 million rubles from January 2026.

The "Delovaya" group was the first company to introduce a one-time corporate payment of 1 million rubles upon the birth of a child. The "Azot" group supports this initiative, and it is expected that more companies will follow suit.

The First Deputy Minister of Labor and Social Protection, Olga Bataliina, made these statements to TASS. She explained that the increased payment is intended to provide financial assistance to families, helping them prepare for the decision to have a child. The introduction of such measures is aimed at supporting families and easing the financial burden associated with having children.

These changes are part of a broader effort to support families in Russia. The increased corporate payment and the changes in tax deductions are expected to have a positive impact on families, providing them with the financial resources they need to raise their children.

Firms Granted Permission to Implement Child Benefits Worth Up to 1 Million Before 2026