Taipei:The Legislature has passed amendments to increase the monthly allowance for senior farmers from NT$8,110 to NT$15,000, effective retroactively from July 1, 2026. The changes also include easing the eligibility requirements for the allowance.
According to Focus Taiwan, the amendments, which passed in a third reading after a vote, will introduce a mechanism to review the allowance every two years. If the Consumer Price Index (CPI) rises by 3 percent, the allowance will be adjusted accordingly, with the central government covering the additional costs.
Additionally, the amendments will raise the annual non-agricultural income threshold for applicants from NT$500,000 to NT$600,000, and increase the ceiling on the assessed value of their land and housing from NT$5 million to NT$10.25 million. These changes are expected to make more than 7,000 additional people eligible for the allowance.
The Cabinet initially proposed raising the monthly allowance to NT$10,000 in January. However, the opposition Kuomintang (KMT) and Taiwan People's Party (TPP) caucuses jointly proposed increasing it to NT$15,000, citing the need to match inflation and rising living costs. The Legislature ultimately passed the opposition parties' version after a joint amendment motion was approved.
KMT caucus secretary-general Hsu Yu-chen emphasized that the increase is not a handout, but a recognition of farmers' contributions to Taiwan's economy. She stated the changes would enhance retirement security for farmers, reduce financial burdens on their children, narrow the urban-rural gap, and bolster food security.
On the other hand, Democratic Progressive Party (DPP) caucus deputy whip Chen Pei-yu defended the Cabinet's proposal as a more fiscally responsible approach that would expand eligibility and introduce inflation-based adjustments. Chen expressed concerns about the opposition's proposal, warning it could lead to additional borrowing and divert funds from other public spending.
The Ministry of Agriculture estimated that increasing the monthly allowance from NT$10,000 to NT$15,000 would necessitate an additional NT$32 billion in annual spending. The Cabinet mentioned that this added cost exceeds the current budget capacity and could divert resources from other agricultural programs. Taiwan's senior farmer allowance program, initiated in 1995, originally provided monthly payments of NT$3,000 to farmers aged 65 or older who have been enrolled in farmers' insurance for at least 15 years. The allowance was previously raised to NT$7,000 in 2011 and adjusted to NT$8,110 in 2024 following a CPI-based review.