Base amount


Base amount or base value is sort of notional amount used in Belarus to keep amount of pensions, scholarships, social welfare payments, duties, taxes, and fines in the text of laws stable and relevant regardless of the level of inflation.
Base amount is also used in Poland to keep pensions on a stable level, regardless of inflation. A similar measure, income base amount, is used in Sweden.

History

Until 2002, fines, taxes, fees and other payments in Belarus were calculated in multiples up to the minimum wage. In accordance with the Presidential Decree № 3 of 15.02.2002, the minimum wage is used only in labor relations. According to the Resolution of the Council of Ministers of 22.02.2002 № 243 for the calculation of fines, taxes, fees and other payments, a base amount of is applied.

Usage examples

Simplified approximation

As seen above, from 2005 year base amount is set in amount that can be approximated to 10. For example, if the amount of some fine is 35 base amounts, it can be easily assumed as €350.
The United [States Department of State] in its travel information uses an approximation of 2 base amounts to €25, which covers the actual amount on the safe side.