How will the “modernizing” of pensions in Ukraine

This year under “modernity” will be the Ukrainians, who retired before 2014. In the calculation of pension takes into account the average salary in the three years before the Ukrainian goes on the “well deserved rest”. The average salary grows every year, as a result, the sooner the Ukrainian came to retire, the less pension. For example, in 2008 the average salary in the three years was 1198, and in 2017 – 3764 hryvnia. If the salary is twice the average in 2008, with 30 years of service could receive a pension of 970 UAH, and this year with the same seniority and the salary already 3,048 USD.

However, recalculated pensions under the new formula (the coefficient estimates of experience will be reduced by 25%), so the “obnovlennaya” the pension will not 3048, 2258 hryvnia. Read more about how to spend the allocation, can be read here.

In the first place will count the payment of 5.6 million Ukrainians (those who went on a holiday until 2014). Many pensioners, as explained by senior researcher of the Institute of demography and social studies Lydia Tkachenko, in the formula of calculation of pensions I have a payroll database that have not yet “obsolete”. In addition, given the fact that in the new formula the rate of assessment of the experience is reduced, for them to “modernize” pension – profitable.

The following “modernity” to be held in 2018. Modernize payments will be those who have retired in 2015 and 2016, clarified the Ministry of social policy. For example, a Ukrainian who worked for 30 years and received a salary and a half times above average, in 2016, could receive a pension in 1975, the hryvnia.

In October of this year this pension will not increase, and next year it will be recalculated taking into account the average salaries for 2015, 2016 and 2017 and the coefficient estimates of length at 1%. It should be noted that the formula takes into account the average salary is not according to the state statistics, and according to the Pension Fund (PF). That is, the average wage from which contributions are paid to the Fund.