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Government publishes new salary forecast! Check readjustment expectations |

Published 01/05/2024 00:00

Since this year, Brazil has had a new calculation formula for minimum wage. Now, the federal government uses last year’s inflation added to the Gross Domestic Product (GDP). This change is intended to guarantee real gains when there is an adjustment, not just the replacement of values ​​”lost” to inflation. In mid-April, the Budget Guidelines Bill (PLDO) for 2025 was sent to the National Congress. In this document, there are budget forecasts, the
which also includes expenses with the salary adjustment.

According to the PLDO sent, the minimum wage for 2025 will be R$1,502, an increase of around 6.39% or R$90. Projections made indicate that inflation should reach 3.71%. If this happens and the value of the adjustment remains as projected, it means a real gain of 2.57%. We still have to wait for the country’s growth value – GDP – to be released.

If there is no growth from GDP, the value of minimum wage it will only be adjusted based on the National Consumer Price Index (INPC), that is, there will be no real gain.

It is worth remembering that, to know exactly the value of the adjustment, it is necessary to wait for the release of both indices, which happens at the end of the year. These values ​​are just projections based on the growth that has been occurring.

Each real increase in the minimum wage generates around R$400 million in the public budget. This is because the increase occurs for INSS beneficiariespublic servants, salary bonuses such as PIS/Pasepbetween others.

To find out more information about the INSSeconomics and finance, you can follow me on my YouTube channel, João Financeiraand my Instagram profile, @joaofinanceiraoficial.

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