The Ministry of Finance, the IDF, and the Tax Authority announced today (Thursday) the expansion of the compensation framework for self-employed reservists called to duty under Emergency Order 8 during the “Iron Swords” War. Under the new framework, the eligibility period for financial compensation will be extended up to three months after the end of service. This extension aims to continue compensating reservists for reduced revenue caused by their reserve service.
Details of the New Framework
According to the update, for every day of actual reserve duty, an additional 1.5 days of eligibility for compensation will be granted. For example, a reservist who served 30 days will receive compensation for 75 days—30 days for the actual service and an additional 45 days under the new framework.
The updated program will open in the coming weeks, with the option to submit retroactive claims via the Tax Authority’s website.
“Those Who Defend the State on the Frontlines Will Receive Full Support at Home”
Minister of Finance Bezalel Smotrich emphasized the moral obligation to reservists: “They are the spearhead of Israeli society. Extending this program is another step to ensure that those who defend the state on the frontlines receive full support on the home front.”
Minister of Defense Israel Katz added: “Reservists are the backbone of national security. We will continue to work to ensure that they and their families receive the financial support they deserve.”
Additional Support in the 2025 Budget
The state budget for 2025, approved by the government this week, includes a support package for reservists worth 9 billion shekels. This package is intended to continue the support initiated in 2024, with the possibility of increasing payments to reservists in certain categories.
The expanded package includes special grants, compensation for loss of income, and benefits for spouses to ease the burden on families during reserve service.
