Accumulative pension system works in the European Union for decades. In Poland it started in 1999, and in Switzerland in 1982. In Ukraine, the three levels of the pension system (solidarity, savings and private funds) exist only on paper. As stated by the Ministry of social policy, to introduce second level of pension system will be only after overcoming the deficit of the Pension Fund, and it will take 7-10 years. However, only joint level cannot ensure high pensions to Ukrainians. The website “Today” found, can the Ukrainians themselves to collect on the pension.
Option No1: collect yourself and hide “under the mattress”
Those who have decided to raise money without the help of financial institutions will have to diversify their risks. Money stored in three different currencies, to observe the dynamics of the currency market and to keep “abreast”. Experts say that even large investment companies it is not always possible to make money on the foreign exchange market. Depreciates not only the hryvnia, but also us dollar, Euro. The “Today” already wrote about how to make sure that your savings are not eaten up by inflation.
“For”:
- money is always at hand and they can always take
- you can defer any amount without any reference to agreements with the pension Fund or Bank
“Against”:
- any money you need to invest, otherwise they will “eat” inflation. Tools for self-investment such as the stock market in Ukraine does not work
- the average Ukrainian pensioners are 18 years of age. To collect the pension at least $ 300, you will have to gather up 64 800 dollars. It will have 20 years to wait for $ 180 per month (4680 hryvnia at the current exchange rate).
Variant No2: to postpone for Bank Deposit
Deposits are more suitable for the accumulation of funds in three to four years, says senior researcher of the Institute of demography and social studies Lydia Tkachenko. If a private Bank “burst”, the Deposit guarantee Fund (SCF) will return a Deposit in the amount of 200 thousand hryvnias, the rest – “burn”. Gstate banks are currently guaranteed to return 100% of the Deposit. The Ministry of Finance have repeatedly said that the state presence in the banking sector should be reduced, and the largest banks “Oshchad” and “Private” to prepare for privatization. If the banks will give to private hands, FGV will guarantee the return of only part of the Deposit.
It is better not to postpone the amount is more than the guaranteed return of FGV, says the head of analytical Department of Concorde Capital Oleksandr Parashchiy. According to the expert, Bank Deposit is the best of the three options to collect on the pension.
At the moment the average Deposit rate of 16% per annum. This allows not only to compensate for the price increase, but also make a little money. For example, if you put a Deposit of 1000 UAH, 10 years can be removed 4411 hryvnia. If to set aside each month for thousands and for the year to replenish the Deposit account to collect on a pension will be possible in 20-30 years. Lydia Tkachenko, ideal – 40 years delay and 20 years to spend.
“For”:
- SCF after closing the Bank will return part of the accumulated funds, if you open deposits in different banks, even if they are closed you can guarantee to receive amount of the Deposit
- the profitability of Bank deposits not only allows you to save and earn
“Against”:
- Bank deposits – more a tool for short-term savings.
- Most banks enter into a contract for 12 months
ВариантNo3: become a member of a private pension Fund
Non-state pension funds (NPF) has started in Ukraine only in 2003. At the moment these funds are not eligible to invest in the economies of other countries, they have some funds to invest in government securities, the second part – in deposits and the rest in precious metals and real estate.
“There is a risk that the yield from investments of the Fund will be lower than the expected return from deposits. Pension funds have so many options for investments. There is a risk that the Fund will fall. Instruments with a low risk of public debt securities. They now have a yield of 13-14%, if the Fund offers much higher you should think,” – says Aleksandr Parashchiy.
“There is a risk that the yield from investments of the Fund will be lower than the expected return from deposits. Pension funds have so many options for investments. There is a risk that the Fund will fall. Instruments with a low risk of public debt securities. They now have a yield of 13-14%, if the Fund offers much higher you should think,” – says Aleksandr Parashchiy.
The main problem of the NPF in Ukraine – currency devaluation and inflation, says the Chairman of the Board of Directors of the Association for the protection of the assets of Alexander Stiho. The expert is sure: if the national Bank has allowed the Ukrainian pension funds to invest abroad, this problem would be solved.
“The devaluation overrides profitability. After having the opportunity to invest pension funds in foreign assets, it will be possible to say that the problem will be solved. Now in this sense, the liberalization takes place, individuals are already allowed to invest”, – said Alexander Situo.
“For”:
- the possibility of a long investment
- protection of the Fund’s assets by law: if the NPF is closed, all its assets should be transferred to another Fund
“Against”:
- There is the risk that the Fund does not compensate for rates of inflation
How to influence their pension
State pension from solidarity system depends on the level of salaries and seniority. The more experience, the higher the pension. After the pension reform one year of service will be assessed at 1% of notional earnings. For example, if you work 40 years, of the joint system, you can get 40% conditional monthly earnings.
In the formula of calculation of pension takes into account the ratio of own wage to the average for the country. This figure is multiplied by the average three years salary and the factor of seniority. If the official salary at the minimum, even with 40 years of service the pension is close to the minimum.
For example, to currently receive a pension in 4000 hryvnia, you need to have a salary of 2.2 times above the national average and worked for 35 years. Recall, the average salary in Ukraine – more than 6500 UAH. During the period of 40 years for a pension in 4000 hryvnia need to be paid 1.9 times higher than the average.
