That lack of Ukrainian pension, and that will change after the reform

Ukraine is one of the lowest pensions in Europe. The average payment currently stands at approximately $ 72, as, for example, in neighboring Belarus, nearly 155 dollars. The website “Today” figured out how to get the Ukrainians on retirement, how to change the size of the payments and that can afford pensioners.

As a “get rich” pensioners

The actual subsistence minimum for persons incapacitated, – 2562 hryvnia. This amount, according to estimates of the Ministry of social policy, enough to pay the minimum set of goods and services (so-called “consumer basket”). The average pension in Ukraine UAH -1850. That is, the majority of Ukrainians in retirement can’t afford the Essentials. Even pensioners in the capital, where due to relatively high salaries, the big pensions, on average, receive less than the actual low – 2474 hryvnia. And, according to the Pension Fund, about 70% of retirees not have close to the minimum payments – about 1312 hryvnia.

Ukrainian minimum pension is only enough for 51% of the consumer basket and the average pension by 72% of the basket. It is worth noting that troubled the “retired”, not all Ukrainians. Thus, the average pensions of MP (15 thousand) will be sufficient for almost six consumer baskets, and “pension” retired judges – about 8.5 of the consumer basket (about 22 thousand UAH).

Photo: archive

“Pensions have not more than 10 740 hryvnias. Judges have such payment as a monthly lifetime allowance. … But this is not a pension. I agree that there are problems, but for today dear deputies adopted such a law. Nothing else I can say”, – said recently the Deputy Minister Chipoletti Mykola Shambir.

“Pensions have not more than 10 740 hryvnias. Judges have such payment as a monthly lifetime allowance. … But this is not a pension. I agree that there are problems, but for today dear deputies adopted such a law. Nothing else I can say”, – said Mykola Shambir.

The situation, according to the government, would correct the “modernizing” of pensions. 5.6 million of payments already assigned will recalculate based on the updated figure of average earnings for three years, which is taken into account when calculating pensions. At the same time, the “cost” of one year of experience in the formula will be reduced by 25%. Thus, the average pension will grow by 300 hryvnias – more than a million people will increase from 1000 hryvnia, and more than 1.3 million payments will increase in the amount of less than 200 UAH.

How “rich” Ukrainians in retirement:

  • to 50 UAH 8.6 per cent (483 thousand pensioners)
  • from 50 to 100 hryvnia and 6.3% (356 of thousands of retirees)
  • from 100 to 200 UAH 8.3 per cent (468 thousand pensioners)
  • from 200 to 300 hryvnia to 8.1% (457 thousand pensioners)
  • from 300 to 400 UAH 7,6% (427 thousand pensioners)
  • 400 to 500 USD – 5,8% (323 thousand pensioners)
  • from 500 to 600 UAH – 6% (327 thousand pensioners)
  • from 600 to 700 hryvnias of 6.4% (360 thousand pensioners)
  • from 700 to 800 UAH at 8.2% (460 thousand pensioners)
  • from 800 to 900 UAH 6,2% (347 thousand pensioners)
  • from 900 to 1000 hryvnia, and 8.7% (487 thousand pensioners)
  • from 1000 UAH 19.7 per cent (1.1 million pensioners)

As explained by a senior researcher of the Institute of demography and social studies Lydia Tkachenko, an increase of 1000 UAH will be able to get the Ukrainians, who have long retired and had a high salary (several times higher than average).

For example, the Ukrainian, who had a salary two times higher than the national average, worked for 37 years and retired in 2007, now gets paid approximately 2097 UAH (taking into account indexation for 10 years). After “modernizing” this payment will rise to 2785 hryvnia. This amount is enough for the minimum set of goods and services.

“Modernity” will be held in October this year. However, only under the condition that in September the Parliament will adopt on second reading and in General the government draft of pension reform.

That can afford pensioners in different countries
Ukraine

Minimum pension: 1312 UAH ($52)
Average pension: 1850 UAH ($72)
Maximum pension: 10 740 UAH (422 USD)
What to buy: Ukrainian average pension will be enough for 17 pounds beef or 370 travel in the Moscow metro. The average pension is only enough for 72% of the consumer basket. As explained by experts of the Institute of demography, the Ukrainians, who cannot afford the consumption basket, actually live below the poverty line.

Poland

Minimum pension: 830 PLN (233 dollars)
Average pension: 1500 PLN ($421)
Maximum pension: 2500 PLN (701 USD)
What to buy: the average Polish pension will be enough for 108 pounds of beef or 395 subway in Krakow. This is one of the lowest pensions in the EU, however, given the social guarantees (free public transportation and medical care for older poles), retired in Poland is several times richer than the Ukrainian.

Photo: archive
Belarus

Minimum pension: 174,61 Belarusian rubles (90.4 per dollar)
Average pension: 298 BYR (154,9 USD)
What to buy: the Belarusian pensioners receive approximately two times more Ukrainian “colleagues”. One pension can be bought for about 60 pounds of beef or 496 times to use the services of the Minsk metro.

Moldova

Minimum pension: 948 lei (53.4 USD)
Average pension: 1278 lei ($72)
What to buy: pensions in Moldova practically does not differ from the Ukrainian. One pension can be bought about 16 pounds of beef.

Russia

Minimum pension: 8.5 thousand rubles (145,2 dollars)
Average pension: 13.7 thousand rubles (234 dollars)
What to buy: the average pension will be enough for 27 pounds of beef or 249 trips in the Moscow metro.

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