The back-to-school clothing allowance in the Republic of Ireland is to be increased by €100 (£86) per child from August.
The Irish government has also approved plans for an expansion of the school meals programme.
About 60,000 extra children will receive a free school meal from September.
The cost of the measures are estimated to run to €47m (£40m).
Government ministers met on Monday and Tuesday to discuss plans to alleviate rising back-to-school costs.
Tánaiste (Irish deputy prime minister) Leo Varadkar said increases to the back-to-school allowance, external announced early in the year did not factor in the current rate of inflation.
He had been asked a question from Sinn Féin leader Mary Lou McDonald, who said people cannot wait another 13 weeks for financial help.
This is happening to families who never thought they would need help, she told the Dáil (Irish parliament).
