The value of the lunch pass has increased in Luxembourg
Finance Minister Juriko Backes told the press that the face value of the meal voucher will be increased from 10.8 euros to 15 euros. In addition, the entire system will be gradually migrated to a digital platform in order to do away with paper cheques altogether.
As part of the reform, the maximum tax-free value of the meal voucher will be increased from 8 euros to 12.20 euros. The total value of a meal voucher will reach 15 euros with an unchanged employee contribution of 2.80 euros. In addition, under the new scheme, the maximum number of meal vouchers that can be used per day will be set at 5, bringing the maximum value of use to 75 euros per day.
"This reform is a concrete example of our commitment to supporting citizens' purchasing power. In the current economic climate, every effort counts. Lunch passes are not only a payroll benefit, but also an important tool to support the catering sector".
The Minister of Finance Yuriko Backes
This solution has a number of advantages. The increased value of such a voucher is a plus. However, a lot depends on the employer. They can voluntarily decide to surcharge or leave it as is.
As for digitalising, this will allow the item itself to be tracked and traced. The vouchers will be put on a special card. You can use it to pay in restaurants or shops. However, the transaction will be rejected if you try to buy something for which the voucher is not intended, such as petrol.
The digital system will be in place from the 1st of January next year and the transition will be seamless for 12 months. This means that cards and paper vouchers will be equivalent.
This reform is part of the government's commitment in the 2018-2023 Coalition Agreement, which includes modernising and digitising the lunch pass system.
