Upon application and in certain conditions, the National Solidarity Fund (Fonds national de solidarité - FNS) awards a specific benefit to low-income households.

To receive the cost-of-living benefit and the energy allowance, the household's income may not exceed a certain threshold. The amount of the benefit is determined on the basis of the applicant's household (whether the applicant lives alone or with several other people).

Who is concerned

Beneficiaries

Households with low incomes (that do not exceed the allocation limits set by the regulation of the Government in Council) are eligible for the cost-of-living benefit and the energy allowance.

Excluded persons

The following are not entitled to the cost-of-living benefit / energy allowance:

• persons who received State financial aid for higher education during the 12 months prior to the month in which they submitted the application;
• EU citizens:
  • registered with an approved public or private education institution in Luxembourg, with a view to attending a full-time educational course or a professional training course; and.
  • without medical insurance and sufficient resources to ensure that they or their family members do not become dependent on the social welfare system;

• third-country nationals who have entered Luxembourg as students, pupils, trainees, volunteers or au pairs;
• anyone who is the subject of a preventive detention order or who has been sentenced to a term of imprisonment, except during the period of day parole, regardless of whether:
  • their sentence has been suspended; or
  • they have been released on parole; or
  • they have been put under electronic monitoring.

Prerequisites

Anyone who wishes to benefit from the cost-of-living benefit / energy allowance must:

• be legally resident in Luxembourg;
• be listed on the main register of the National Registry of Natural Persons (RNPP);
• actually live at the address where they have their place of usual residence;
• have been living in Luxembourg continuously for 12 months before the month in which the application is submitted;
• have a low annual income, either alone, or cumulatively with the persons belonging to their household at the time of submitting the application.

All persons belonging to the household on the date the application is filed are considered as applicants for the benefit for the current year. The applicant in whose name the application is submitted is deemed to be the main applicant.

Deadlines

In principle, the FNS must receive the complete application between 1 January and 31 October of the current year. The postmark serves as proof of the date.

Applications submitted after 31 October of the current year will be rejected.

How to proceed

Filing an application

The application form can be downloaded below, from 1 January to 31 October 2023, in the 'Forms / Online services' section.

The application for the cost-of-living benefit / energy allowance includes information about the household and must be signed by all of its adult members.

The application must be completed, signed and sent by post to the FNS.

Persons who have already received the cost-of-living benefit / energy allowance will receive a pre-filled form from the FNS at the end of the year.

Eligibility requirements for the application

In order to be considered complete, an application must be:

• accompanied by a bank account identification document (RIB) concerning the main applicant's personal bank account;
• filled in completely;
• signed by all applicants of legal age, or by their legal representative.

The FNS will return incomplete applications to the applicant by registered mail.

The applicant must send the completed application to the FNS within 30 days. The postmark serves as proof of the date. If this deadline is not met, the cost-of-living benefit will be denied.

The FNS may request additional information or documents from the applicant.

Income limits

For the application to be accepted, the household's total annual income must not exceed the limits set by the Government in Council.

Total annual income is estimated over a reference period taken as the 12 months preceding the month in which the application is submitted.

The gross monthly income limit (of the average gross income during the reference period) to benefit from the cost-of-living benefit is set at:

• EUR 2,394.23 for a single person;
• EUR 3,591.35 for a 2 person household;
• EUR 4,309.62 for a 3 person household;
• EUR 5,027.89 for a 4 person household;
• EUR 5,746.16 for 5 person household.

The gross monthly income limit (of the average gross income during the reference period) to benefit from the energy allowance is set at:

• EUR 2,992.79 for a single person;
• EUR 4,489.19 for a 2 person household;
• EUR 5,387.03 for a 3 person household;
• EUR 6,284.87 for a 4 person household;
• EUR 7,182.71 for 5 person household.

Consult the full cost-of-living benefit / energy allowance table for the year 2023.

To determine the income of the household, the following are taken into account:

• income from any professional activity;
• replacement income (parental leave allowance, disability pension, etc.);
• income from movable and immovable assets (rent, stocks, etc.);
• pensions and annuities;
• maintenance/support payments;
• allowances or benefits received from a public organisation, with the exception of:
  • family benefits;
  • back-to-school allowance;
  • maternity allowance.

Amount of the cost-of-living benefit

The amount of the benefit is determined on the basis of the applicant's household, and corresponds to:

• EUR 1,652 for a single person;
• EUR 2,065 for a 2 person household;
• EUR 2,478 for a 3 person household;
• EUR 2,891 for a 4 person household;
• EUR 3,304 for a 5 or more person household.

Consult the full cost-of-living benefit / energy allowance table for the year 2023.

The benefit is exempt from taxes and social security contributions. The benefit is non-transferable and may not be pledged or seized.

Amount of the energy allowance

The amount of the allowance is determined on the basis of the applicant's household, and corresponds to:

• EUR 200 for a single person;
• EUR 250 for a 2 person household;
• EUR 300 for a 3 person household;
• EUR 350 for a 4 person household;
• EUR 400 for a 5 or more person household.

Consult the full cost-of-living benefit / energy allowance table for the year 2023.

The benefit is exempt from taxes and social security contributions. The benefit is non-transferable and may not be pledged or seized.

Reduced cost-of-living benefit / energy allowance

Applicants whose income exceeds the allocation threshold may receive a reduced cost-of-living benefit / energy allowance.

The amount of this benefit corresponds to the difference between:

• the amount of the cost-of-living benefit / energy allowance that would normally be paid to an applicant in a comparable situation;
• the portion of the annual income which exceeds the total annual income threshold.

Allocation of the benefit

This limitation also applies if there is a change in the composition of the applicant's household or income situation.

Up to half of the benefit amount may be withheld to offset claims of the National Solidarity Fund against the beneficiaries.

In case of agreement, it is paid into the applicant's account.

Appeal

The decision may be challenged before the Steering Committee of the National Solidarity Fund. The appeal must be filed within 40 days of the notification of the decision.

Forms / Online services

Who to contact