Israel to expand financial benefits for reservists and their families

The initiative will include an allocation of around 3 billion shekels to implement measures to increase the recognition and support of reservists through financial assistance.

Reservists train during a battalion wide exercise in the Golan Heights. (photo credit: IDF SPOKESPERSON'S UNIT)
Reservists train during a battalion wide exercise in the Golan Heights.
(photo credit: IDF SPOKESPERSON'S UNIT)

Reservists and their families will be receiving more benefits, Finance Minister Bezalel Smotrich and Defense Minister Israel Katz announced on Wednesday.

In a joint effort between the Defense Ministry and Finance Ministry, the initiative will include an allocation of around 3 billion shekels to implement measures to increase the recognition and support for reservists by providing financial assistance to their families.

The initiative was presented to the Ministerial Committee on the Reserves System, which is led by Katz, and a new department in the Defense Ministry will be established and will handle all the needs of discharged soldiers and reservists.

The department will collaborate with the IDF and government offices for decision-making and work with the private sector to help improve the rights and benefits for reservists.

Digital wallet

Combat reservists will get access to a benefits club, which will include a digital wallet that will be dynamically loaded based on how many days a reservist was back in the reserves.

 IDF reservists joining the ''David Brigades,'' the five new reservist brigades announced by IDF Chief of Staff Herzi Halevi, December 17, 2024. (credit: IDF SPOKESPERSON'S UNIT)
IDF reservists joining the ''David Brigades,'' the five new reservist brigades announced by IDF Chief of Staff Herzi Halevi, December 17, 2024. (credit: IDF SPOKESPERSON'S UNIT)

The digital wallet will give reservists the freedom to use it in whatever way they want, as a financial relief.

Income tax credits

The government will grant, for the first time in Israeli history, income tax credits for combat reservists. 

Until now, reservists haven't received any tax benefits. This initiative will increase the reservists' net salary according to how many days they served.

Grants for employers, commanders

Financial grants will be provided to employers who allow their staff to be in reserves without any effect on their employment conditions.

The government is using this to provide a clear incentive for businesses and employers to support reservists in their careers.


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Special grants will also be awarded to reservists who are in command positions.