Amount of the adjusted allowance
Half of the earnings before taxes paid during the application period for earnings-related unemployment allowance reduces the amount of allowance. For example, if a person earns €500 doing gig work, the full earnings-related unemployment allowance paid for the whole month is reduced by half of this amount (€250).
The maximum amount of the adjusted earnings-related allowance is defined. The combined amount of your earnings-related allowance and your income cannot exceed the wage on which your earnings-related allowance is based.
Example of an application period of one month:
You are applying for earnings-related allowance for the period 1–30 April 2024. Your full earnings-related allowance is 70 euros a day. On 15 April 2024, you are paid wages of 500 euros before taxes from working gigs. Your earnings-related allowance is reduced by an amount corresponding to half of your wage income (€250). This amount is divided by the number of workdays in the adjustment period (21.5 days). This amount (€11.60) is deducted from your full daily earnings-related allowance. After the deduction, your earnings-related allowance is €58.40 a day.
Example of an application period of four weeks:
You are applying for earnings-related allowance for the period 15 April to 12 May 2024. Your full earnings-related allowance is 70 euros a day. On 30 April 2024, you are paid wages of 500 euros before taxes from working gigs. Your earnings-related allowance is reduced by an amount corresponding to half of your wage income (€250). This amount is divided by the number of workdays in the adjustment period (20 days). This amount (€12.50) is deducted from your full daily earnings-related allowance. After the deduction, your earnings-related allowance is €57.50 a day.
Example of the maximum amount:
Your wage, which is the basis for the earnings-related allowance, is €2,500 per month, which is €116.28 per day (€2,500 / 21.5 = €116.28). Your income during the adjustment period is €2,400, which is €111.63 per day (€2,400 / 21.5 = €111.63). The maximum amount of your earnings-related allowance is €4.65 per day (€116.28 – €111.63 = €4.65).
You can use our daily allowance calculator to estimate the amount of your adjusted allowance.
The exempt amount of earned income has been removed on 1 April 2024
Until 31 March 2024 the exempt amount reverted to EUR 300 for a one-month application period and to EUR 279 for a four-week application period. All income in excess of the exempt amount affected the amount of the adjusted allowance. 50% of the portion of the wages that exceeded the exempt amount was deducted from the full amount of the earnings-related allowance.
Example with the exempt amount of 300 euros still in place, with an application period of one month:
Your full earnings-related allowance is EUR 70 per day. You work for one week and get paid a gross amount of EUR 730. The exempt amount, EUR 300, is deducted from your pay. Your earnings-related allowance is then adjusted taking into account half of the remaining portion of your wage (EUR 430). This amount, EUR 215, is divided by the number of working days in the adjustment period (21.5). The daily figure (EUR 10) is then deducted from your full earnings-related allowance. You will therefore receive an allowance of EUR 60 per day.
Example using an exempt amount of 279 euros, with an application period of four weeks:
Your full earnings-related allowance is EUR 75 per day. You work for one week and get paid EUR 759. The exempt amount, EUR 279, is deducted from your pay. Your earnings-related allowance is then adjusted taking into account half of the remaining portion of your wage (EUR 480). This amount, EUR 240, is divided by the number of working days in the adjustment period (20). The daily figure (EUR 11,16) is then deducted from your full earnings-related allowance. You will therefore receive an allowance of EUR 63,84 per day.