An increase in pensions for working pensioners in 2021 will be carried out only as part of an annual recalculation. The increase is assigned as a result of taking into account in the amount of the pension additional pension points generated by transferring insurance contributions from wages. In this case, the recalculation takes into account the coefficients formed over the past year. Accordingly, when recalculating the pension amount in 2021, contributions transferred by the employer for work during 2021 will be taken into account.
Since 2021, pensions of working citizens have ceased to be indexed. Now, all “missed” indexations over the years of work are assigned only after dismissal, that is, after the termination of work and the pensioner’s transfer to the category of unemployed.
No additional increases or indexation of pensions are planned for working pensioners in 2021.
Although the State Duma has repeatedly proposed the return of indexation for working pensioners, a positive decision on this issue has not yet been made.
- It was expected that such a change would occur on January 1, 2021 as a result of bringing the legislation into line with the updated Constitution. However, no changes were approved, and the PFR budget for 2021-2023. was adopted without taking into account the funds necessary for indexation for working citizens.
- At the same time, the discussion on the issue of restoring indexation for working pensioners continued in 2021. On behalf of President V. Putin, the Ministry of Labor has prepared options for resuming indexation. It is expected that the decision will be made by the President himself and will be announced during his next address to the Federal Assembly.
Increasing pensions for working pensioners in 2021
An increase in the amount of pension payments for working pensioners in 2021 will be ensured as a result of recalculation. An increase will be established for all types of insurance pensions: old age, disability or loss of a breadwinner (if insurance premiums were not fully taken into account when assigning payments).
The annual recalculation of pensions for working pensioners will be carried out from August 1, 2021. It is worth noting some important features of this recalculation:
- The amount of the increase is determined individually based on the pension coefficients (IPC) accumulated over the previous year, which were not previously taken into account when calculating the pension.
In this regard, the additional payment to the pension will be greater, the higher the official salary was in the previous year. When recalculating for working pensioners, all contributions transferred for the previous calendar year are taken into account. This means that in 2021, pensioners will receive an increase for the length of service that they additionally accumulated in 2021, while already being retired. - The increase has a limited maximum amount, since no more than 3 pension points are taken into account when recalculating. To form three individual industrial complexes for the full year 2021, the salary must be 32,300 rubles. per month. If a pensioner has not worked for a full year, then 3 pension points can only be generated with a larger salary.
- The cost of one IPC for a pensioner during recalculation is taken in the amount that was established on the date of registration of his pension. This condition applies due to the same notorious indexation freeze, which has been in effect since 2021.
Reasons for canceling indexation for working pensioners
In 2021, there will be no indexation for working pensioners, and the situation is similar to the picture in 2021. The Ministry of Finance assures that working citizens who are on a well-deserved rest already benefit significantly by increasing the minimum wage.
Consequently, changes in pension legislation, which came into force in 2021, will not affect the pension provision of working persons. You can apply for recalculation of benefits only after dismissal.
Why is there no indexation for working pensioners? The Government of the Russian Federation believes that there are two reasons for this:
Working pensioners were promised an increase in August, but in reality it turns out the opposite?
- Working pensioners receive both a pension and wages, so they do not need indexation like citizens who live solely on pensions.
- Pensioners who work can fully enjoy benefits upon reaching retirement age, which also allows them to save.
Increasing pensions for working pensioners from August 1, 2021
The size of the increase from August 1 depends on the citizen’s retirement date. In this case, the size of the maximum increase corresponding to the equivalent of three IPCs can be determined from the table below:
| Retirement date | Cost of IPC, rub. | Maximum increase in August 2021 in rubles |
| Until 02/01/16 | 71,41 | 214,23 |
| After 02/01/16 | 74,27 | 222,81 |
| After 02/01/17 | 78,28 | 234,84 |
| After 04/01/17 | 78,58 | 235,74 |
| After 01/01/18 | 81,49 | 244,47 |
| After 01/01/19 | 87,24 | 261,72 |
| After 01/01/20 | 93,00 | 279,00 |
The amount of the increase in pensions for working pensioners after recalculation from August 1, 2021 will be higher, the later the date of registration of pension payments. But since the additional payment is limited to three IPCs, the additional payment in any case will be no more than 279 rubles. Moreover, such an allowance will be available to citizens who applied for a pension in 2021 and managed to create 3 IPCs on their personal account after retirement.
For those who just retired in 2021, recalculation in August 2021 is not allowed, since all accumulated points were taken into account when assigning payments. If the pensioner continues to work, a recalculation will be made for him in August 2022.
Will there be indexation of pensions for working pensioners in 2021 (latest news)
Vladimir Putin will address the Federal Assembly on April 21, 2021 with his message.
Many are waiting for the president to return the indexation of pensions for working pensioners, which they lost in 2021. However, according to MK, no such decisions will be announced. At least in relation to all working pensioners, whose total number is 9 million people.
Sources familiar with the situation say that there were intentions to return indexation at first and the government has prepared its proposals in this regard. However, during the discussion, we came to the conclusion that the budget cannot yet cope with such a load - the costs will range from 0.5 to 1.5 trillion rubles in additional expenses.
“The maximum that can be voiced is indexation for the most vulnerable selected categories. For example, for those working pensioners who are disabled,” the newspaper’s interlocutors note, emphasizing that at the moment no one knows the exact option. This will be the president's personal decision.
In accordance with Article 7 of Law No. 385-FZ of December 29, 2015, the Government introduced a moratorium on the indexation of pensions for working pensioners starting in 2021. As a result, for this category of citizens the size of the fixed payment to the insurance pension and the cost of one pension coefficient (IPC) are not indexed, as is provided for non-working pensioners. For this reason, their pension benefits during their working life remain virtually unchanged - they are entitled to an increase only as a result of an annual recalculation in August.
Despite repeated attempts by State Duma deputies, the decision to restore the usual indexation procedure for working pensioners has not been made. The final position of the Government on the issue of indexation of pensions for working pensioners was announced by Finance Minister Anton Siluanov. During his speech in the State Duma on October 28, 2021, he said that the department opposes the return of indexation of pensions for citizens who continue to work.
The Ministry of Finance considers the adopted concept in relation to this category of pensioners fair for the following reasons:
- Even without indexation, the incomes of working pensioners grow annually due to rising wages.
- All missed indexation for the period of employment will be taken into account upon dismissal and determination of the final pension amount.
Based on the above, the Ministry of Finance believes that it is inappropriate to change the indexation rules adopted in 2021, since the main task of the Government is to ensure a high growth rate of income for the population as a whole. For employed pensioners, it is carried out in full due to the increase in wages, which is annually noted by the state statistics service.
In turn, State Duma deputies propose to reconsider the existing indexation procedure, at least for working disabled people and citizens with low wages. Moreover, the issue of restoring the indexation of working disabled people was discussed with the President, who, in turn, proposed considering this option and calculating its feasibility.
Latest news from the State Duma for working pensioners
Deputies of the State Duma have repeatedly tried to restore the “frozen” indexation for this category of citizens, for which a number of bills were prepared and submitted for consideration:
- Bill No. 902475-7 from Senator V.N. Ikonnikov (introduced to the State Duma in February 2021), which proposed restoring the indexation of payments to working citizens from January 1, 2021.
- Deputies from A Just Russia in June 2021 proposed their draft law No. 967775-7, which proposed not only indexation, but also payment to citizens of all lost funds during such a moratorium (for the period from 2021 to 2021).
- A similar bill from the LDPR faction No. 968227-7 was introduced in June 2021 and proposed the lifting of the moratorium on indexation starting July 1, 2021.
Review of the projects was supposed to take place on December 16, 2020, but, unfortunately, their reading was postponed indefinitely. At the same time, most likely, all three projects will soon be rejected, since negative conclusions have already been prepared by the Legal Department of the State Duma and the Government of the Russian Federation. In particular, it is noted that the adoption of such a law:
- will require additional expenses that were not initially included in the budget of the Pension Fund of the Russian Federation;
- will violate the existing “concept for the development of the Russian pension system,” which involves indexing pensions only for non-working pensioners;
- will violate the principle of social justice and somehow infringe on the rights of citizens who already receive pensions.
When will indexation of pensions for working pensioners be returned in 2021 - news for May 27
Preferential consultant › News › When will indexation of pensions for working pensioners be returned in 2021 - news for May 27
Experts believe that the indexation of pension payments to working pensioners should occur before the elections to the State Duma, scheduled for September 19. Many expected that the indexation deadlines would be announced by the president in May during his speech to the Federal Assembly, but this did not happen.
Will indexation be returned for working pensioners?
According to analysts, the return of indexation could occur on the eve of the upcoming elections in September. There is an opinion that in this way the government will encourage Russians to participate in voting.
Deputy Sergei Leonov noted that many bills on indexation of pension payments have been presented more than once. Perhaps, according to the politician, the government will return to pension reform in order to motivate citizens before the elections. There is an opinion that the head of state kept this asset for an indefinite period until the elections.
Politician Sergei Mironov believes that the decision on indexing pensions for pensioners who are still working will be made within a month.
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Latest news about indexation for working pensioners
The issue of pension valorization has recently become a definite driver of growing tension in society. According to forecasts, this fact may still affect voter turnout in the September elections this year.
It is known that regional authorities, for example, Sevastopol and Adygea, have sent proposals to the State Duma to index pension payments. It is also reported that the regional authorities of these subjects of the country intend to restore the indexation procedure at the expense of the regional budget. It is possible that other regions will follow their example.
At the beginning of this year, the head of state instructed the government to think about projects to increase pension payments to pensioners who are officially employed. Despite the fact that the projects have not been approved, pensions will still be increased in August. The difference between indexation and recalculation of pensions is described in our article.
When will pension indexation be returned to working pensioners?
According to Elena Bibikova, who is responsible for social policy, social payments for working pensioners will indeed increase at the beginning of August this year, but this will not be indexation. Currently, annual indexation applies only to insurance pensions of those citizens who do not work. Indexation means that a person is compensated for part of the money that was burned, so to speak, due to inflation, which leads to a decrease in the purchasing power of pensioners. Every year, social benefits increase by the level of inflation, and sometimes even exceed it. This year, for example, pensions were increased by more than 6 percent. Such measures are aimed at preventing pensioners from losing money.
For pensioners who receive both a pension and an official salary, increases in pension payments were frozen back in 2016, but pensions will be increased at the end of this year. The recalculation of this category of citizens will be made in early August. It does not depend on inflation, but on additional income from which pension contributions to the budget are paid. To recalculate, you need to work in the previous year, and it doesn’t matter how long - a month or more, the main thing is that the pensioner pays contributions. It should be noted that the pension will increase by a maximum of 296 rubles.
The State Duma from time to time discusses the issue of introducing indexation for pensioners, but all such initiatives are rejected. Some experts believe that this is a budget deficit problem. If a pensioner is fired, the pension payment can be indexed to the required amount.
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