Searching for Statistics Related to Orphans in Israel.

I'm busy doing research to figure out the next step in the work we do assisting orphan Chatanim and Kallot. I decided to try to obtain stats on orphans in Israel. The central bureau of statistics in Israel was unable to provide stats but referred me to the Bituach Leumi site. I am still trying to find the correct spot on the site for the information I require but was amazed with other information I came across.

Have you ever spent a little time looking at the Bituach Leumi website? Here is the link if you would like to look yourself. http://www.btl.gov.il

 Did you know there is something for righteous gentiles. I was focused on what I am looking for so did not look further but that says a lot. 

 Did you know that Bituach Leumi offers counseling for seniors? There are all kinds of other headings and information on the website.

The only topic I have found thus far related to orphans was for me very, very upsetting. The title was for the assistance provided for those under 18 years old who have become orphaned from one parent in domestic violence. That to me is really frightening. The fact that abuse and domestic violence exists in Israel is hard enough to consider.. But, the fact that it would be of a level that children become orphans shows how severe it is. 

Since I prefer prevention and sustainability of health to rehabilitation, I'd like to hear what is being done to help to prevent this? With one in three or 1 in 3 children living below the poverty line, I can imagine that low income would be a major concern and contributing factor.  What other factors are contributing to this being enough of a problem for there to be assistance provided for the surviving orphans? 

If you are an expert in this field, I'm interested to hear your thoughts.

If you yearn for a time of peace and healthy functioning of all, then please do be in touch. 

Concerned and saddened to read such information.

Shoshanah Shear

Occupational Therapist

The Outcomes of Applying for Help - Bituach Leumi

Someone came to our blog wanting to know the outcomes of applying for help through Bituach Leumi. There are some who know the system and have what is called "Protexia" i.e. the right contacts, who manage to obtain benefits from Bituach Leumi. There are some organizations set up to assist with this too. I do not know them but you can try contacting places like AACI or Nefesh b'Nefesh to ask if they have information on how to claim and be successful.

Personally, my outcome was a lot of wasted time, frustration and heartache from being embarrassed and humiliated. I never obtained benefits from having had a work injury and having to rehabilitate myself due to not having benefits or appropriate referrals. I did not receive unemployment benefit either.

It is like everything in Israel, Hashgachah Pratis, Divine Intervention. If you have the right contacts and Hashem is in agreement, in theory, there are a range of situations where Bituach Leumi assists. If you do not have the right contacts and / or Hashem is not in agreement, it ends in wasted energy, heartache and no benefits.

Hatzlachah. Pray hard for a favourable outcome and remember, if prayer works, don't settle for asking for benefits ask for all your needs to be covered and all Am Yisrael to live in all of Eretz Yisrael without the need for any others to assist, but only assistance from Shamayim. May we merit the Rebuilt Yerushalayim and our Righteous Redeemer, a time when there will be revealed good and enough for everyone.

Kupat Cholim - Free Medical Aid in Israel

In Israel, there are currently four different Kupot (medical aids) available - Meuhedet, Klalit, Maccabi and Leumit. Every citizen of Israel is entitled to choose to be a part of any of these (and must!) It is your right - but be aware, it's not free. You'll be paying for it. As a start, your Bituach Leumi (National Insurance) is considered the start of its payment and at a current entry level amount of ₪160 per month for the unemployed and those earning less than around ₪2000 per month, it can already be a hefty amount to pay - especially if you're not actually in need of any medical treatment (a condition you should be most thankful for in any case!)

Beyond the initial Bituach Leumi amount and dealing with increasing Bituach Leumi payments depending on your monthly income / salary, you can be paying up to 40% of your earned income - ultimately for your rights to "free" medical insurance. 

What do you get for it? Basic medical services allow you to visit your GP for free (the reason everyone will say it's free!) but don't let that fool you! In addition to seeing the GP, if there is anything remotely requiring a specialist (in practically almost every case) you will be sent to a specialist usually with a Hafnayah - הפניה - a referral. Currently you must pay ₪22 for each time you see the specialist and ₪22 for each additional specialist you see during a period known as "quarterly" - or Rivon - רבעון. Be aware that any doctors or authorities indicating to you that medical treatment is free in Israel are sadly misinformed. The costs may escalate even further. 

While in many countries, a GP is entitled to perform numerous small procedures, Israel limits the activities of the GP - forcing them to refer you on to a specialist. An example would be having one's ears syringed. In the event that one's ears become filled with wax, a regular doctor will not be permitted to remove the wax, but will refer you to a specialist. In other countries, GP's are quite capable of the small procedure themselves! 

In addition, though the specialist may be knowledgeable in his area of expertise, he too is limited by Israeli law to the procedures he may perform. As an example - a dermatologist may check your skin noticing various blemishes that can be easily removed with liquid nitrogen, but his authority allows him to only diagnose; he may not correct the problem, in essence being required to refer you to a surgeon - for the relatively simple burning procedure! Ultimately one's "free" medical treatment can well lead to visiting numerous doctors and being required to pay the Kupah for each additional visit - amounts which in other countries would be avoided due to one doctor being quite capable of performing the smaller procedures himself!

Dental and Eye Costs:

Dental treatment is not covered for by the Kupah and can be rather expensive. Likewise, seeing an optometrist to have spectacles prescribed will require almost full payment with very little if any subsidy by the Kupah.

Costs of Medications:

Upon purchasing a medication under the list of "subsidized" medications, you will pay a minimum of ₪14 per medication (currently.) There are many medications that require  a higher price or full payment thereof. All the amounts listed in this post, increase each year as a general rule. 

The Free Fertility Treatment Fallacy!

For those looking into the "free" fertility treatments that are offered in Israel - be aware, that while much may be "subsidized," all tests and procedures are charged for just as the referral to a specialist or more. You will be charged for injections, drugs and other invasive procedures as well as your net loss from days off from work (no pay) and with the emotional stress added to this, the financial costs can be a lot more than ever bargained for. It is hard for anyone not in such a predicament to ever imagine anything close to the actual costs, as they still maintain that fertility treatment in Israel is absolutely free! Indeed, those not actually involved in these special treatments will again assume that all is free. (It almost sounds too good to be true - even exciting!)

Kupah Plans:

In addition to the basic "free" structured medical treatment provided in Israel, each Kupah will offer numerous "special" - must-have options which will entail paying even larger amounts to be a part of the more appropriate medical aid systems which allow for even more "free" things. 

Choosing a Doctor:

Do remember that because Israel works with a Rivon (quarter) period, the doctor you choose - whether you know them are not - will be your doctor for a period of 3 months. You will not be able to change doctors. Get advice from others who may have used a particular doctor, to know if they are the right doctor for you. Join us for our next article where we will discuss more about the practical aspects of "what can go wrong" or "what can be right!" when choosing a doctor in Israel.

Important Points to be Aware of:

• Be aware of the actual costs. 
• Don't be fooled by those indicating that medical treatment in Israel is free.
• Choose the plan that is best for you after appropriate research.
• Be aware of the doctor you choose. You will be stuck with them for a quarter period - 3 months, without the ability to change!
• Be aware of the Kupah you choose. Though you can switch Kupot, it is not easy to work out which one will serve your needs better. 
• Visiting a GP may only be the start of treatment - often requiring seeing at least two other specialists - all at an additional cost.

Bituach Leumi Question from a Reader

Dear Welcoming Olim

I wonder if you or one of your readers can help me. 

I was most interested to read the post on difficulties with Bituach Leumi. I received a letter from Bituach Leumi to say that they had returned an amount "owing" me to my bank account. The amount they returned was exactly the amount I owed them for the month. Now I am having to pay it again with a few Shekels extra penalty fee.

My bank called asking about the payment from Bituach Leumi was and told me to sort it out as the bank is required to charge me for the service of receiving the money paid from Bituach Leumi and then charging another charge when I pay Bituach Leumi again. It seems that the "kindness" of Bituach Leumi is costing me interest/penalty fee on the additional unnecessary payment to them, plus bank charges. I now worry that they may do it again resulting in all these additional penalty and bank fee costs.

I can't help but wonder if this is just to create work for an employee. After all, someone had to return the money, write a letter to say the money was returned, put it in an envelope and pay for postage. The postman has to deliver the letter just to let me know that Bituach Leumi have returned money I had paid for monthly insurance. Then they hit me with a few Shekel fine. Why is that?

I don't understand what Bituach Leumi are doing, and I don't know how to follow thebank's instruction of "sorting things out with Bituach Leumi." I really don't know. I am an Oleh and have not learned the system too well.

Can you advise at all or can a reader of yours explain to me? The bank's call put me into a further state of depression regarding my honest payments.

Thank you for giving me the opportunity to write a guest post. Can someone offer assistance please?

-- Confused Reader

Bituach Leumi Difficulties - Be Careful!

If you're new to Israel, one regular tax you need to be aware of is "National Insurance" otherwise known in Hebrew as "Bituach Leumi." Though this post is not concerned with the amounts you'll be paying, nor individual details, it is known that the minimum current amount paid by anyone (18 years and over) breathing in the holy air of Israel is ₪154 per month - whether employed or not. If you do earn any income while living in Israel, there is a complete listing of amounts earned together with amounts due to Bituach Leumi for tax purposes. Money received by the national insurance is supposed to take care of general "free" medical attention and other emergencies such as when one is unemployed (though a closer look at things may not make sense i.e. read the second sentence of this post again!)

One can pay one's dues at a post office, in person at Bituach Leumi's offices or even using the Internet with one's credit card. At various points in the year (or perhaps once only at the beginning of the year) one is issued a booklet with amounts due and by which dates those amounts are due - so making payments can be "easy."

Be warned however, you must pay attention to amounts you are being charged on a regular basis. In the event that you miss a payment, you will be fined a penalty - immediately to the amount of one shekel (usually!) There is no going back or making excuses for a one day late payment. If, on the other hand you have not informed Bituach Leumi of an increase in a month's earnings, you may find yourself owing Bituach Leumi not only an additional amount, but a heavy penalty tax of hundreds and even thousands of shekels immediately! It is not an easy thing to get off this and has been known to result in severe depression, panic and other difficulties to those hit suddenly with these amounts unknowingly!

Though all this applies and is completely "legal," keep a watch on what Bituach Leumi might be doing behind your back! A recent Oleh notified us of their honesty in making regular payments. They were required to pay some 250 shekel per month - which they do regularly via the Internet. A couple of months ago, Bituach Leumi returned their payment indicating that it was not needed. The next month, a payment was made again - and this too was returned to their account, indicating that payment was also not necessary. But suddenly Bituach Leumi "remembered" that payment was necessary after all, now charging them for the next month with a penalty of 2 shekels for not having paid their Bituach Leumi (perhaps for the previous two months?!) See graphics below:

The first graphic (see right hand side) clearly indicates 499 shekels return (254+245) - the last amount of 254 shekel was returned on the 4th December. Yet notice in the second graphic, the headings:

קרן - Monthly Amount - 245

קנסות - Penalties - 2

סה"כ חוב - Total Debt - 247

Notice the date when payment was due by (third graphic) - 15 December. Payment was clearly made just 11 days earlier... but after refunding the victim, Bituach Leumi debited him with the amount and another 2 shekels penalty (maybe because he paid early?!)

Indeed Bituach Leumi were one up on the innocent victim by returning the money that had been paid to them by the victim - back into the victims bank account - and then charging a penalty fee for "payment that was not made"!)

So what does this do to the victim practically?

It causes a loss of "penalty" money that should never have been taken. In effect Bituach Leumi have taken something that was never theirs in a perfectly "legal manner!"

There is another loss to the victim - and here's when the 2 shekel amount turns into a much larger loss! In his accounting records, the victim will have to now declare another 499 shekels as income - call it "compensation from Bituach Leumi" and be taxed on that!  The accountant will view this as income from Bituach Leumi or perhaps even "compensation" from them. In addition to this, should the victim be in need of Arnona (land tax) assistance or anything else - where a copy of the bank statement must be produced, the authorities will see that Bituach Leumi are already helping the victim, causing the possibility that the additional help needed will never come about! 

NOTE: As far as the Iria (Municipality) is concerned, an income of just 2000 shekel is considered enough to pay for a full month's expenses, and therefore not deserving of the discount for Arnona.

Be warned! Bituach Leumi, Arnona, banking fees and other taxes may tax and deduct whenever it pleases them. Should you find yourself in such a situation it is best to consult with a professional immediately.

Remember, your 2 shekels may not seem like much (as a start) but if we do not fight these things together, then effectively Bituach Leumi can be quite "legally" gaining some 14 million odd shekels for forbidden activities each month - by simply taking just 2 shekels from each citizen of Israel - all in the name of an honest penalty!

Have you been cheated in Israel by anyone? Tell us your story. We want others to know and to be warned.

* This post is not written by an accountant or legal representative but is based upon real tangible evidence in a victim's personal situation.

Bituach Leumi - the outcomes of applying for help.

If you are a Jew who is eager to work or his or her middos, then Israel is certainly the place for you.

If your challenge is patience, faith and Ahavas Yisrael (loving your fellow Jew), you will do very well with trying out Bituach Leumi.

Have you ever seen what happens to a ball of wool, all neatly rolled up and placed in a basket, then along comes a cat and decides to play. The ball of wool somehow changes its form. You might come back, eager to begin knitting or crocheting or some other creative pursuit with your beautiful ball of wool and suddenly, woops, the cat decided a different design was in order.

Going through the Bituach Leumi system is rather like that. You might have in mind that you will bring in your documents, carefully complete whatever forms they require, hand it in, receive your answer or money or whatever and everyone is happy. But, Bituach Leumi usually has a different plan.

When I worked in a hospital and was part of the process to evaluate whether a disability grant was indicated or perhaps work rehabilitation would be a better option; perhaps some compensation while work rehabilitation is taking place. There was a system. There were forms to complete, evaluations to carry out, everything worked well when all those in the process did their job correctly. It is really quite straight forward and should not take too long either.

But computers are funny objects, somehow they require a human being to enter information and one hopes that the information will be entered correctly and remain as it was given.

For some reason that I don't understand, the process seems quite straight forward, but, if you find yourself in a place of needing some help from Bituach Leumi, prepare yourself for a road that is neatly set out to test your middos. Be ready to complete the same forms over and over and over again. Be ready to keep your cool, remain patient and go through the process when they suddenly come back with your work history becoming your husbands and vise versa.

On our guest posts you will see the legal side of how things SHOULD take place. Take a deep breath, daven (pray) really hard every moment, give some tzeddakah or maybe a lot and if you get through the process with the result you intended, know that it was a miracle. I would even say an open miracle, an absolute Gift from G-d.

Israel runs on miracles. The best advice we can give is take every situation as an opportunity to improve who you are and notice every achievement as the Hand of G-d coming down to help you directly.

Hatzlachah.

Bituach Leumi - How do we obtain this help?

A number of readers are searching with how to obtain Bituach Leumi. I am afraid I dont have a direct answer.

I have been told that you have to become a Nudnik. Have all your paperwork in order and lots of patience and just keep going back to the Bituach Leumi offices.

Some say with a fight you do get assistance.

Our personal experience has been to put our trust in Hashem and be open to other forms of parnassa or help.

If anyone else has had some success with obtaining Bituach Leumi, please do post a comment. We would love to hear positive words that will help another Jew.

National Insurance - Bituach Leumi Part II

National Insurance Part II

This post has been compiled for us by Tzvi Szajnbrum a lawyer who has some free services for Olim

Work Status

Sometimes a person changes his work status (for example, he may cease working as an employee and begin working as self-employed). Such a change has implications on the benefits he receives from the NII as well as on the rate of insurance contributions that he is obliged to pay to the NII. Types of changes in work status and benefits affected by the change vary from case to case.

Rates

Rates of insurance contributions for a person who has income and is neither an employee nor self-employed :

For the share of the income that is up to (60% of the average wage): % 4.61 (as of 07.01.2002) national insurance and % 5.00 (as of 01.01.2006) health insurance contributions, and for the share of the income that is above 60% of the average wage and up to the maximum income liable for insurance contribution: % 7.00 (as of 01.01.2008) national insurance and % 5.00 (as of 01.01.2006) health insurance contributions.

A student who does not work:

A student at an institute of higher learning who does not work pays the minimal rate of national and health insurance contribution - NIS 110 (as of 01.01.2009) , using the payment booklets sent to him/her once a year.

Domestic Worker and His / Her Rights:
· A domestic worker is a person employed in household work not for his employer’s business or occupation. Such work includes the care of children, cleaning stairways in apartment buildings and the like.

· A person employing a domestic worker must register him at the National Insurance Institute, must report on his wages, and must pay both national insurance and health insurance contributions for him.

· The employer may deduct the worker’s share of the insurance payment from the worker’s wages.

· When filling in a report of the employment of a domestic worker, all of the worker’s particulars must be accurately registered. Non-specification of the worker’s particulars in the report or specification of incorrect particulars may adversely affect the worker’s rights in national insurance.

· The penalty imposed on a person delaying payment of insurance contributions for a domestic worker is one year of imprisonment or payment of a fine. This person will also be required to pay insurance contributions based on the employee’s actual wage, but no less than half of the average wage during each month of the employment for which payment was delayed. Furthermore, the Institute is entitled to file a claim against a person who did not register a domestic worker on time, or did not pay insurance contributions on time, for the sum of the benefits to which the worker is entitled.

· The obligation to pay insurance contributions for a domestic worker applies also to a person who employs a foreign resident or a worker who is not an Israeli resident and resides in Judea, Samaria, and the Gaza Strip or in the territories of the Palestinian Authority. Insurance contributions for these workers are paid directly to the National Insurance Institute.

Ceasing work:

A person who ceases working and cannot return to the labor market may be eligible for NII benefits for limited periods as a substitute for his wages.

· There may be a number of reasons for ceasing work. The benefits related to these various reasons are listed below.

· A student at an institute of higher learning who does not work pays the minimal rate of national and health insurance contribution - NIS 110 (as of 01.01.2009) , using the payment booklets sent to him/her once a year.

Immigrating to Israel

· The NII provides a wide range of benefits to persons immigrating to Israel for the first time as well as to returning residents, in accordance with the different needs of these population groups.

· Some of the rights provided are contingent on payment of insurance contributions.


Injury

· The NII assists persons injured in various circumstances – and therefore unable to function at work or in daily life – in a number of ways.

Causes of the injury and the relevant benefits:

Hostile (terror) action, Vocational Rehabilitation (work or accident), Work Injury, or Attendance Allowance (work or accident).


Living Abroad

· For a NII beneficiary, living abroad may have implications on his right to receive NII benefits, and even lead to the ceasing of payments for the entire period of his stay abroad. The continuation or cessation of eligibility for benefits depends on the circumstances of the departure from Israel, as stipulated in the law.

· Circumstances of departure, and relevant benefits, vary from case to case.

Pregnancy, Birth and Adoption

The NII provides a wide range of benefits to women giving birth and their husbands, both during and after the pregnancy. Benefits are provided also to couples who adopt a child.

The circumstances entitling the couple to benefits and the list of relevant benefits vary from case to case such as: Maternity Allowance, Hospitalization and a Maternity Grant, A high- risk pregnancy, or Adopting a child.

Reaching Retirement Age/ Age of Entitlement to Old-Age Pension

· The NII will grant an old-age pension to persons reaching retirement age, on condition that they do not have high incomes. Persons who require assistance in daily activities may be eligible for such assistance from the NII.

· When you reach this age, you may be eligible for one or more of the following benefits: The age at which the insured person is eligible for old-age pension, conditional on means test. The age gradually rises until, at the end of the process, it will reach 67 for men and 64 for women.

If you need more information or clarification on any subject concerning the NII, please feel completely comfortable to contact Tzvi by email or phone, his contact details be found on his site:

www.lawadv.com or www.voleh.org

National Insurance - Bituach Leumi Part I

This post has been compiled for us by Tzvi Szajnbrum a lawyer who has some free services for Olim.

National Insurance Part I

Different categories of those insured include:

Self Employed

Who is a Self-Employed worker?
A self-employed worker is one who meets one of the following conditions:

· He works in his occupation for an average of at least 20 hours a week.
· His average monthly income from his occupation is not more than 50% of the average wage.
· He works at his occupation for 12 hours a week and his income is over 15% of the average wage.

A self-employed person who is registered at the NII and who pays his insurance contributions regularly is covered in all insurance branches except unemployment and bankruptcy.

Who is a Self-Employed Person?
A self-employed person is defined as one of the following:

· A person who is engaged in his occupation for at least an average of 20 hours a week
· A person whose average monthly income from his occupation is more than NIS 3,964 (as of 01.01.2009) - 50% of the average wage.
· A person who is engaged in his/her occupation for at least an average of 12 hours a week, and his average income is more than NIS 1,189 (as of 01.01.2009) - 15% of the average wage.

The Self-Employed Person
A self-employed person with additional income from a source other than work must pay insurance contributions from this income as well, while it is equal to or higher than his/her income as a self-employed person, up to the maximum income liable for the payment of insurance contributions

Registration with National Insurance Institute
A self-employed person must register at the National Insurance Institute immediately upon opening his business. A self-employed person who was injured at work is entitled to work injury benefit only if he/she was registered at the National Insurance Institute as a self-employed person at the time of the injury and paid insurance contributions.

Who must register?
· A married woman who works as a self-employed person at her husband’s business must register herself at the National Insurance Institute and pay insurance contributions.

· A married couple working together in a joint business can divide up the income from their business between themselves and pay insurance contributions according to each one's share, on condition that the division is between 1/3 and 2/3 of the overall income. If one of the spouses has income that does not originate from their joint business, this spouse can be credited with only 1/3 of their income from the joint business.

· A self-employed person who also has an income from work as an employee must pay health insurance at both workplaces, up to the maximum income on which insurance is payable.

· A self-employed person with additional income from a source other than work must pay insurance contributions from this income as well, while it is equal to or higher than his/her income as a self-employed person, up to the maximum income liable for the payment of insurance contributions.

· The maximum income on which contributions are paid. No payments are made on income above this amount. The amount is five times the average wage, as published in December 2005, and updated each January by the change in the consumer price index.

· A person who does not meet the definition of self-employed person as specified above is not considered a self-employed person and the regulations applicable are as specified (see below).
· A farmer who meets the definition of a self-employed person is required to register at the National Insurance Institute and pay insurance contributions on his/her income.

· The wife of a farmer in a cooperative settlement (moshav) is also considered a self-employed person and is required to register and pay insurance contributions for herself.

· If the farmer or his wife do not work in their farm, for example, if they work as employees outside the farm and only reside at the farm they must contact the National Insurance Institute and submit ratifying documents

The rates of insurance contributions paid by a self-employed person:

A self-employed person aged between 18 and retirement age pays:

· For the share of the income that is up to 60% of the average wage NIS 4,757 (as of 01.01.2009) - % 6.72 (as of 07.01.2002) national insurance and % 3.10 (as of 01.01.1995) health insurance contributions.

· For the share of the income that is over 60% of the average wage and up to the maximum income liable for insurance contributions: % 11.23 (as of 01.01.2006) national insurance and % 5.00 (as of 01.01.2006) health insurance contributions.

Who is exempted?
· An unemployed new immigrant within 12 months following the date of immigration to Israel;
· A person aged 18 who has not yet been drafted and is unemployed, is exempt from payment for a period of up to 12 months provided that he/she is drafted to the army no later than age 21;
· A high school student (11th and 12th grades) who has reached the age of 18 is exempt from payment for the period of his/her studies provided that he/she is drafted up to age 21;
· A prisoner or detainee in prison for longer than 12 months.

Attention:
· A soldier in regular service receives healthcare services from the IDF and is not insured under the National Health Insurance Law, and therefore is not obligated to pay health insurance contributions.

· A career-service soldier is obligated to pay health insurance contributions.
A person whose military service is postponed due to academic studies ("atudai") has to pay national and health insurance contributions himself during the period of studies. The National Insurance Institute will send him the payment booklets and he must pay the insurance contributions quarterly.

· A student enrolled at a "Yeshivat hesder": beginning January 2002 the Ministry of Defence pays national and health insurance contributions for him, from the date of drafting and up to the date of demobilization, including the periods of study at the Yeshiva.

How to pay?
· Self-employed non-workers students and yeshiva students:

You may pay by means of: a pay-book; credit card; standing order at the bank; debt settlement by checks

· Employers – on behalf of their employees and pensioners:
You may report and pay on form 102 by means of: the NII payment site; a bank; the “representatives” computer system; a hand-written report


· Self-employed non-workers students and yeshiva students:
You may pay by means of: a pay-book; credit card; standing order at the bank; debt settlement by checks

Differences between Employee and Self-Employed:
· Employee the employer must report on his/her wages and pay insurance contributions for him/her.

· Self-employed must register at the National Insurance Institute and pay insurance contributions himself.

· Employee is insured both under unemployment insurance and under insurance for employees’ rights in cases of bankruptcy or corporate liquidation.

· Self-employed is not insured under unemployment insurance or under insurance for employees’ rights in cases of bankruptcy or corporate liquidation.

· Employee rights are not affected due to delayed payment of insurance contributions by his/her employer.

· Self-employed rights may be affected if he/she does not register himself or is late in payment of insurance contributions.

If you need more information or clarification on any subject concerning the NII, please feel completely comfortable to contact Tzvi by email or phone, his contact information can be found on his website:

www.lawadv.com or www.voleh.org

Bituach Leumi - National Insurance Institute - Introduction

This post has been compiled for us by Tzvi Szajnbrum a lawyer who has some free services for Olim

National Insurance Institute (NII)– “Bituach Leumi”

What is “Bituah Leumi”?

The NII, known in Hebrew as HaMosad LeBituach Leumi , is the government body responsible for social security. It dispenses various insurance benefits and collects insurance premiums.

Its main purposes are to assure a means of subsistence for residents of Israel, for reasons beyond their control are temporarily or permanently unable to support themselves, and to provide allowances and benefits for eligible, insured persons who have accumulated rights.

This is not a private insurance or an eligible insurance but a Compulsory National Insurance and Health Insurance – you must pay (except those exempt by law, as noted below) whether you like it or not, or need it or not.

Booklets in English free of charge can be found in any branch of the NII. These booklets provide most of the needed information on rights and benefits.

Who must pay?

· Every resident of Israel aged 18 and over is obliged under law to be insured by National Insurance and to pay the National Insurance contributions, except for a housewife (a married woman who is not employed outside the household) and for a person who first became an Israeli resident over the age determined by law (the age increases gradually from 60 to 62).

· A person whose life is centered in Israel. Among the criteria for determining residence in this context: permanent place of residence, place at which the family is staying, place of the children's education, main place of work, place of learning.

· Every resident of Israel aged 18 and over is also obliged to be covered by Health Insurance and to pay the health insurance contributions to the National Insurance Institute together with the national insurance contributions.

· A housewife is exempt from payment of health insurance, with the exception of a housewife who is an old-age pension recipient or whose spouse receives a supplement to his old-age pension. Every insured person must be registered in one of the sick funds and is entitled to the health services defined by law.

· Payment rates of national insurance and health insurance are calculated according to the insured’s earned and unearned income, and according to his work status (employee, self-employed, unemployed, student, etc.). Payments will not be less than the minimum specified by law and will not be more than the maximum income ceiling for insurance contributions.

· A person who does not work and has no income will pay the minimum insurance contribution of NIS 147 (as of 01.01.2009) per month.

· An insured person is obligated to pay insurance contributions for any period he/she is temporarily absent from Israel.

Insurance for New Immigrants

New Immigrants are exempt from NII payments during your first year in Israel, unless your income exceeds a set minimum. Different forms of benefits are available for the new immigrant, but you must consult with the NII (or me) if you are eligible during your first year in Israel.

If you need more information or clarification on any subject concerning the NII, please feel completely comfortable to contact Tzvi by email or www.voleh.or