Pension reform sent to the Parliament: the main innovations that will affect all Ukrainians

The government has developed a bill on pension reform and sent it coordinated with the President a document to the Parliament. If the project will support the Parliament, the Ukrainians have ten years to retirement pension will have to accumulate at least 35 years of service (from next year, the necessary experience will be increased annually by 12 months to 25 years). In addition, officials made the decision to evaluate each year of service in new ways.

At the moment each year when calculating the pension multiplied by a factor of 1.35. The government plans reform to reduce this ratio to 1. Experts in the field of pension provision explain: as a result of the size of pensions for those who have not yet retired, reduced by at least 35%.

If by 2028 to accumulate only 30 years of experience, will either have to buy the missing experience, or to work to 63 years. In the presentation of the Cabinet says that in 2028 at age 60 to retire will be able to reach only about half of Ukrainians of retirement age. 40% will go on a holiday in 63 years, 5% in 65 years. Those who to rework not want to buy experience – first year is 16 896 USD.

Prime Minister Vladimir Groisman said that talking about raising the retirement age reform is not. But, in fact, half of Ukrainians retirement age still increased.

Those who do not have the right to a retirement pension due to the lack of experience is social assistance in the amount of 30% of the subsistence minimum for the disabled. After tightening the requirements for obtaining old-age pensions, the number of “social pensioners” (receive less than the minimum pension), experts suggest, may rise several times.

In addition, after the reform , the tax for working pensioners in the amount of 15% will be canceled. This innovation will affect about half a million Ukrainians.