In Ukraine in the first reading adopted the draft law on pension reform. As stated in the government finally the bill will support in the autumn after MPs return from recess. The website “Today” has collected the main innovations that are waiting for the Ukrainians after the reform.
The first of October 2017 pensions recalculated. The size of pension is affected by all three indicators: the average salary in the country, the size of their own salaries and length of service. In the formula of calculation of pension, in accordance with article 40 of the law “On compulsory pension insurance”, is counted as the ratio of own wage to the average for each month and the average salary in the country for three years.
For those who went on “the deserved rest” in 2007, the year before, the average salary in the three years set at 1 197,91 hryvnia. After this figure did not change. Although the average salary in 2014, 2015 and 2016 reached 3764,4 hryvnia.
In October 2017 all legacy pensions recalculated taking into account the wages over the last three years. As a result, 5.6 million seniors payments will grow from 50 to more than 1,000 hryvnia. However, the Cabinet of Ministers proposes to modernize not just the average three years salary, but also to reduce the assessment ratio experience.
For example, the Ukrainian, who retired in 2007, earned 1.5 times more than the average for the country and worked for 30 years, maybe to 1312 UAH (minimal). After recalculation of pensions, the same will be Ukrainian hryvnia to 1693, that is, at 382 UAH more.
New requirements for obtaining pensions. From the first of January next year on a guaranteed amount of pension will be entitled only to the Ukrainians with 35 years of experience for men and 30 for women. If you need the experience there – will be paid the calculated pension, which may be below the minimum.
From the first of January next year on a guaranteed amount of pension will be entitled only to the Ukrainians with 35 years of experience for men and 30 for women. If you need the experience there – will be paid the calculated pension, which may be below the minimum. For example, if a Ukrainian was a lifetime feature on the minimum wage and worked for 29 years, he can claim a pension at 1310 hryvnia, while the minimum in October this year expected to reach 1373 UAH.
To receive a pension at age 60 in 2018 need to have at least 25 years of insurance experience. Every year the size of the required experience will increase by 12 months, while this figure will not reach 35 years. As stated in the presentation of the Cabinet, this will mean that in 2028 “in time” will be able to retire, only 55% of the total number of 60-year-old Ukrainian.
If in 2018, come retirement age, but there are more than 15 but less than 25 years of service at retirement, you can only claim at age 63. If next year will be 60 years and going exactly 14 years of insurance experience in retirement can go at 65. The Ukrainians, who have not got this service at retirement do not have rights. Instead, they are entitled to social assistance.