A parent is generally entitled to child allowance if:

• They are an Israeli resident (or a non-resident who has been legally working in Israel for at least 6 months with a valid residence and work permit), and
• The child is under 18, lives in Israel and is not married

Allowance may also be paid to:

• A legal guardian (with a guardianship order), or, in certain cases, another person caring for the child
• A minor who has immigrated to Israel without parents (in specific situations)

The amount of the allowance received depends on various factors:

• Number of children in the family
• Their birth order
• Whether the family receives certain subsistence benefits (e.g. income support, maintenance, old-age pension with supplement)
• Families who receive certain Bituach Leumi benefits (income support, maintenance, old-age with supplement, survivors’ pension with supplement) may receive an additional increment for the 3rd and 4th child.

Please note: You can check the exact amount for your family using the official calculator (Hebrew)

• In most cases, after a birth in Israel, the allowance is paid automatically based on data sent from the hospital to Bituach Leumi
• Payment is usually made on the 20th of each month into the bank account recorded for the family
• Child allowance is generally paid to the mother by default, but there are rules for payment to the father, guardian, or adoptive/foster parents on the Bituach Leumi site
• Bituach Leumi is allowed to offset debts (e.g. unpaid contributions or overpaid benefits) from the child allowance

Please note: If you need to leave Israel for a substantial period of time, you should review the various Bituach Leumi rules and regulations regarding the potential impact on your Kitzba.

If you do not receive child allowance automatically, you may need to file a claim in the following circumstances:

• Children who did not receive an allowance automatically after birth
• Change of custody between parents
• A child moving to a guardian
• Children who came to Israel at a later age

• Funds are also deposited monthly (usually the 20th of the month) on the same day as the Kitzbat Yeladim. The actual amounts can be seen here.
• Parents can also choose to double the amount deposited with funds from the Kitzbat Yeladim
• For newborns, you have 6 months from the birth to choose the bank/fund and investment profile. If you don’t choose, the money is invested by default in a provident fund with a higher-risk investment track (or, if you already chose a provident fund for an older child, in that same fund).
• You can change the savings instrument and investment track later

• Savings can generally be withdrawn from age 18, except in special cases
• Withdrawals are handled by the bank or provident fund, not by Bituach Leumi
• You must complete a Money Withdrawal Request form and submit it to the managing entity
• From age 21, if the savings were not withdrawn earlier, Bituach Leumi adds an additional payment when the child turns 21.

- From 21, the child may withdraw the money without parental approval

- There may be tax on capital gains when withdrawing savings, unless the child keeps the money in a provident fund until retirement age and then takes it as a pension, in which case it may be tax-free (under current rules)