Insurance pensions
The first increase occurred in February 2020. Then payments to citizens receiving labor pensions increased. The indexation coefficient was calculated based on the data obtained on the inflation rate for the previous year. According to statistics for 2020, the increase in consumer prices was 5.4%.
Therefore, in January of this year, the Government of the Russian Federation decided to increase the size of insurance pensions by 5.4%. The fixed payment on the basis of which pension accruals are calculated has changed. Its amount was 4805.11 rubles. The size of the individual pensioner coefficient has increased to 78.28 rubles since February 2020.
In addition to insurance pensions, citizens entitled to monthly cash payments will receive an increase. The increase in pension payments affected 30 million people, budget expenditures amounted to 230 billion rubles. An additional 14 billion rubles will be spent in April 2020 to increase pensions by 0.4%. In general, over the year the size of citizens' labor pensions should increase by 5.8%.
Indexation of pensions in 2020
Increase in social pensions from April 1, 2020
Russians can expect another pension increase in 2020. The latest news came from the Russian Government, which published a corresponding decree signed by Prime Minister Dmitry Medvedev.
On Tuesday, March 21, Prime Minister Dmitry Medvedev signed a document according to which, from April 1, 2020, social pensions will be indexed in the amount of 1.015.
“To approve the indexation coefficient of social pensions in the amount of 1.015 from April 1, 2020,” says the resolution published on the official portal of legal information.
Thus, the social pension will increase by 1.5% from April 1.
According to Rosstat, the cost of living for a pensioner increased by 1.5% in 2020. And the social pension, as you know, is indexed based on these data and does not depend on the level of inflation.
Indexation of pensions in 2020
Next year, pensions will be indexed according to the usual scheme, Russian Prime Minister Dmitry Medvedev said during an interview with journalists from leading Russian television channels.
“Next year it was decided to return to the usual indexation of pensions. That is, in the first quarter of next year, the pension will be indexed by 5.8% - according to inflation for the current year,” the prime minister noted.
According to the official, “huge amounts of money” are planned for indexation of pensions in next year’s budget. “In total, this is 7 trillion rubles,” Medvedev assured.
Let us remind you that this year the indexation of pensions was replaced by a one-time payment of 5 thousand rubles. “As a result of the payment, the real size of the pension will increase. This five thousand payment, in fact, means the second part of indexation. And for some pensioners, this 5 thousand is more than they would have received with indexation,” Medvedev noted.
Indexation of pensions from February 1, 2020
Pension indexation in February 2020 will be carried out in full for 2020 inflation.
The draft budget of the Russian Pension Fund for 2020 and for the planning period 2020 and 2020, adopted by the State Duma on December 9, provides for a forecast inflation rate of 5.8%. The size of the fixed payment after indexation will be 4,823.35 rubles per month, the cost of the pension point will be 78.58 rubles (in 2020 – 74.27 rubles). The final indexation amount will be known in January, when Rosstat publishes the official inflation rate. The individual pension coefficient for all pensioners will be indexed exactly by this index.
Indexation of pensions in case of loss of a breadwinner
The Cabinet of Ministers decided to index survivor pensions from April 1, 2020 in full, as required by law. From April 1, 2020, survivor pensions will be increased, and from February 1, 2020, social payments and the cost of preferential services will be indexed.
How much will pensions increase for families who have lost their breadwinner?
The indexation of pensions in the event of the loss of a breadwinner will be 5.4 percent, this figure was announced in the Cabinet of Ministers. The government promised to index pensions twice in 2020; from February 1, social payments will be increased for all categories of pensioners, and from April 1, survivor pensions will be increased. Pensions will be increased according to actual inflation; there will be no one-time payments like for 2020. The increase in pensions will continue as before.
Insurance pensions
From February 1, 2020, insurance pensions will be indexed to the official 2020 inflation rate. The consumer price index, according to official data from Rosstat, for the past 2020 amounted to 5.4%. Accordingly, from February 1, 2020, insurance pensions will be indexed by 5.4%. In addition, in accordance with the statement of the head of the Ministry of Labor Maxim Topilin following a meeting of Russian President Vladimir Putin with members of the government, from April 1, 2017, pensions will be indexed by 0.4%. As a result, the overall indexation of insurance pensions in 2020 will be 5.8%.
The average annual old-age insurance pension in 2020, as a result of indexation, will be approximately 13,657 rubles.
Unfortunately, we have to admit that pensions of working pensioners in 2020 will not be indexed in the same way as in the previous year. Moreover, pensions of working pensioners will not be indexed until at least 2020. Currently, the number of working pensioners in Russia is estimated at 9.6 million people.
In addition to insurance pensions, from February 1, the monthly cash payment (MCB), which is paid monthly to all federal beneficiaries (all disabled people, combat veterans, Chernobyl victims - almost 16 million people), will be indexed. The EDV, as well as insurance pensions, will be indexed by 5.8%.
State pensions, including social pensions
State pension pensions, including social pensions, will be indexed from April 1, 2020, taking into account the growth index of the pensioner’s cost of living for 2020. These pensions will be indexed for both working and non-working pensioners. The draft budget of the Pension Fund for 2017 provides for an increase in this type of pension by 2.6%
Let us remind you that pension legislation guarantees annual indexation of insurance pensions from February 1, taking into account the inflation of the previous year.
This is how it was until 2020. However, in 2020, against the backdrop of an extremely unfavorable economic situation, pensions were indexed by 4%, with the caveat of possible additional indexation based on the results of budget execution in the first half of the year.
Insurance pensions and social payments will be indexed to the inflation rate
Moscow. January 11. INTERFAX.RU - From February 1, insurance pensions and social payments will be indexed to the level of inflation, said the head of the Ministry of Labor Maxim Topilin.
“From February 1, 2020, insurance pensions will be indexed in accordance with the inflation rate - by 5.4%,” Topilin told reporters following a meeting of the president with members of the government on Wednesday.
Also, from February 1, all social payments will be indexed to the inflation rate - child benefits, payments to war veterans, and disabled people. This indexation will also be 5.4%.
Topilin added that “the second indexation of pensions - it is very small - will take place on April 1.” Thus, according to the head of the Ministry of Labor, the total indexation will be 5.8%.
Social pensions
From April 1, 2020, social pensions of citizens are subject to indexation. Initially, information appeared in the press about an increase in their amount by 0.38%. But later it was decided to set the indexation amount based on changes in the pensioner’s cost of living. It increased over the last year by 1.5% from 7965 rubles to 8081 rubles. In accordance with it, the growth of social pensions will be 1.5%.
The average pension increase will be 130 rubles, and the payment itself will increase to an average of 8,774 rubles. Pensions of military personnel, war veterans, disabled children, and persons receiving survivor benefits will be indexed. 4.9 billion rubles will be spent from the budget to increase social pensions.
How much will pensions increase from April 1, 2020?
Pensions for working and non-working pensioners will be increased by 0.38%.
As reported by the Pension Fund of Russia (PFR), insurance pensions will increase by a total of 5.8%, to 13,655 rubles.
Social pensions for working and non-working pensioners will be increased by 1.5%.
In 2020, the average social pension is 8,742 rubles, which is 2.2% higher than the subsistence level.
Together with a one-time payment of five thousand rubles to all pensioners at the beginning of the year, the average old-age pension from April 1 will be 14,072 rubles, the size of the social pension will be 9,159 rubles.
The average social pension will increase by 129 rubles per month. The average disability pension for military personnel will increase by 181 rubles, and survivor pensions for military families will increase by 155 rubles.
The average size of state pensions for disabled people who received military injuries and participants in the Great Patriotic War who receive two pensions will increase by 206 and 200 rubles per month, respectively.
As stated by the Ministry of Labor, indexation of pensions from April 1, 2017 will increase the level of pension coverage for about 3.9 million pensioners, of which 3.1 million people are recipients of social pensions.
Pensions of working pensioners
The increase in pension payments to working pensioners has been suspended since 2020. Such measures led to savings of 400 billion rubles, which in times of crisis is a significant amount for the budget.
Increases in payments are suspended only while the pensioner is working. In the event of his dismissal from work, the amount of pension accruals will be recalculated taking into account all missed indexations. Even if a pensioner wants to work again after a certain period of time, the size of his pension will not decrease. Payments will be made in the amount accrued after dismissal.
Apart from pensioners who continue to work at their enterprises, the recalculation of pensions will not affect citizens engaged in other activities. These include lawyers, doctors, tutors, freelancers who receive income and are registered with the pension fund. The increase in pensions has also been suspended for persons legally renting out apartments.
Citizens who worked in 2020 should expect an increase in labor pensions from August 1, 2020. This is not connected either with the indexation of payments to the inflation factor or with a change in the cost of living. The annual adjustment of payments to working pensioners occurs in connection with the receipt of additional insurance contributions from employers. An increase in pension awaits every pensioner in 2020. Different categories of citizens will receive it at different times and in different amounts. Thus, the state seeks to fulfill its obligations and returns to the usual procedure for indexing pensions.
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Indexation of pensions from February 1, 2020
Since February 1, 2020, insurance pensions have been indexed to the official 2020 inflation rate. The consumer price index, according to official data from Rosstat, for the past 2020 amounted to 5.4%. Accordingly, from February 1, 2020, insurance pensions are indexed by 5.4% . Resolution of the Government of the Russian Federation No. 36 of January 19, 2020, providing for this measure, was signed by Russian Prime Minister Dmitry Medvedev.
As a result of the February indexation, the cost of the pension coefficient was increased by 5.4%, or by 4 rubles 01 kopecks, and amounted to 78 rubles 28 kopecks. Based on this value, pensions for non-working pensioners are recalculated, and payments are also calculated and assigned to those who retire in 2020. Together with the insurance pension, a fixed payment to it was indexed by 5.4%. Its size is now 4,805.11 rubles.
In addition to insurance pensions, from February 1, the monthly cash payment (MCB) was subject to indexation, which is paid monthly to all federal beneficiaries (all disabled people, combat veterans, Chernobyl victims - almost 16 million people). The EDV, as well as insurance pensions, has been indexed by 5.4% since February 1.
In addition, from April 1, 2020, pensions will be indexed by 0.38% (based on the difference between the forecast inflation rate - 5.8% and the PFR budget for 2020 and the actual inflation rate for 2020 - 5.4 %). The total increase as a result of two indexations will be 5.8%. In general, over the year the average pension should increase to 13,620 rubles.
From what month is the pension indexed after the dismissal of a pensioner?
Unfortunately, we have to admit that the pensions of working pensioners in 2020 are not indexed in the same way as in the previous year. Moreover, pensions of working pensioners will not be indexed until at least 2020. At the same time, the state guarantees an increase in pension, in case of dismissal of a pensioner, for all missed indexations. Currently, the number of working pensioners in Russia is estimated at 9.6 million people.
Recalculation of pensions of working pensioners from August 1, 2020
State pension pensions, including social pensions, will be indexed from April 1, 2020, taking into account the growth index of the pensioner’s cost of living for 2020. These pensions will be indexed for both working and non-working pensioners. The draft budget of the Pension Fund for 2017 provides for an increase in these pensions by 2,6%.
Let us remind you that pension legislation guarantees annual indexation of insurance pensions from February 1, taking into account the inflation of the previous year.
This is how it was until 2020. However, in 2020, against the backdrop of an extremely unfavorable economic situation, pensions were indexed by 4%, with the caveat of possible additional indexation based on the results of budget execution in the first half of the year.
Indexation of pensions from April 1, 2020
