The increased pension for Muscovites is a reflection of the economic growth that the Russian capital is experiencing
The majority of Moscow pensioners have become 3 thousand rubles richer since January 1, 2021 - this is the amount by which pensions were increased in accordance with Moscow Government Decree No. 805-PP of October 31, 2021.
After the increase, the minimum pension in Moscow in 2021 for non-working pensioners increased to 17,500 rubles. The minimum pension in Moscow will be reissued for residents who have completed their work experience and receive an old-age or disability insurance pension, as well as those who have been registered in Moscow for more than 10 years.
Let's tell you in more detail who was affected by the increase in the minimum pension to 17,500 rubles, who can only count on an increase in payments to the minimum subsistence level in Moscow, who will receive bonuses and raises, and who were left out by the new rules.
Pension in 2021 and 2021 - it was and became
What minimum pension awaits city residents in Moscow time has been discussed by the Moscow government, headed by Mayor Sergei Sobyanin, since last fall. As a result, the social minimum of the city’s material standard for non-working pensioners in Moscow has been increased since January 1, 2018 and now amounts to 17,500 rubles.
Let us recall that the minimum pension in Moscow in 2021 was 14,500 rubles, that is, the increase was more than 20%.
The Moscow authorities were able to find money to support a vulnerable group of the population thanks to the economic prosperity of the city and the increase in incomes of working citizens. The increased pension for Muscovites is a reflection of the economic growth that the Russian capital is experiencing. Sobyanin announced that there would be an increase in pensions in Moscow in 2021 at a meeting of the Presidium of the Moscow Government in the fall of 2017. An economic justification for the introduction of appropriate city support measures for pensioners was also given there.
Officially, the increase (not only pensions, but also some social payments and additional payments to pensions) was secured by Decree of the Moscow Government No. 805-PP dated October 31, 2017 “On establishing the amounts of individual social and other payments for 2021.”
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One-time payment to pensioners from October 1, 2021: a last resort
The head of the country's government noted that assigning a lump sum payment to pensioners instead of the usual indexation in Russia is an extreme measure that the authorities were forced to take due to a lack of financial resources.
Since last year was already marked by this type of compensation, now the question arises about its re-application. The population is awaiting a decision from government agencies, writes Rosregistr. As for the second side, for the government this was a real way out of the current situation.
The poor economic situation in the country forces us to take such measures. Indexation is practically eliminated, and compensation of this kind allows for minimal compensation of losses.
Who will be raised to the city standard?
The increase in the minimum wage to 17,500 rubles will affect the category of pensioners who, at the time of registration of the supplement, have had a permanent residence permit in the capital for more than 10 years (this includes living in territories annexed to Moscow).
Based on clause 5(1) of the capital government decree No. 1268-PP, these citizens have the right to increase their pension income to the level of the city social standard if their material income is less than the minimum pension in Moscow.
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Benefits for large families from 2021 in Moscow
Traditionally, large families receive additional payments from the capital's mayor's office. New Year 2021 is no exception. As part of the announcement of Moscow Government Resolution No. 805-PP at a meeting of the Presidium on October 31, 2021, the head of the Department of Labor and Social Protection of the City, Vladimir Petrosyan, clarified that today there are 325 thousand children in large families in Moscow who are especially in need of government assistance. In this regard, starting from 2018, payments for large families in the capital will double! You can find the full table of payments for large families in 2021 in the tables presented below.
Payments to large families in 2021 Table No. 1
Payments to large families in 2021 Table No. 2
State assistance and benefits for large families in 2017
Who will get an increase to the living wage?
The minimum pension in Moscow in 2021 for those living in the capital for less than 10 years (this applies to both those who have permanent registration in the capital and those who have temporary registration) will not reach the Moscow minimum of 17,500.
Based on clause 7 of Moscow government decree No. 1268-PP, these citizens can count on an additional payment up to the subsistence level of a capital pensioner if their pensions are less than the established amount. In 2021, the living wage for a pensioner in the capital is 11,420 rubles per month (Moscow Government Decree No. 952-PP dated December 5, 2017 “On establishing the living wage”).
Benefits for low-income families in Moscow in 2021
To consider the amount of benefits for other categories of the population, we need to refer to Appendix No. 1 to Moscow Government Decree No. 805-PP. A single document reflects the amounts that the mayor’s office will pay for both low-income and large families.
Appendix No. 1 to Moscow Government Decree No. 805-PP
The amounts of payments to low-income families in Moscow from 2021 are indicated in section 1.2 of Appendix No. 1. It should be noted that the increase in payments to families for children under 3 years of age is significant if the parent - mother or father - is a single person, a military personnel serving in conscription, or the parent evades paying child support. On average, payments to these categories of low-income families have tripled. In 2018 they will receive 15,000 rubles. You can see the amounts of other payments to families in this category in the table below.
Payments to low-income families in 2021
What kind of help can low-income families expect in Moscow?
Who won't have their pension increased to the minimum wage?
The following cannot apply for additional payment up to the minimum pension in Moscow:
- persons living in the capital and not registered,
- those receiving pensions outside of Moscow,
- Russians temporarily (more than 6 months) or permanently residing outside the country,
- pensioners using social services of social service organizations,
- undergoing compulsory psychiatric treatment or in correctional institutions.
The minimum pension in Moscow in 2021 for working pensioners will not change, not counting certain categories that are entitled to a regional compensation supplement in accordance with Moscow Government Decree No. 1005-PP dated November 27, 2007, as amended as of October 31, 2017. These include disabled people and WWII participants, employees of federal and municipal healthcare organizations, education, etc.
One-time payment to pensioners from October 1, 2021: the issue of abolition of state pensions
State Duma Speaker Vyacheslav Volodin did not rule out the abolition of state pensions, he said this at a meeting with residents of Saratov.
The question of the existence of state pensions arises because of the deficit budget, the FreeNews-Volga agency reports Volodin’s words. This is how the speaker of the State Duma answered a question from a resident of Saratov, who said that she had a very small pension, and because of the reform, she and her grandchildren might not live to live.
Volodin, as noted, tried to laugh it off in response, and then, when the question was repeated, said that the pension system already has a deficit, which is also filled from the deficit budget.
In addition, the State Duma speaker called for thinking not about the age at which people can stop working, but about increasing pensions. He said that previously in the Saratov region there were 4 working people per pensioner. The governor of the region, Valery Radaev, added in response that now this ratio is 1 to 1. In conclusion, Volodin said that if pensions do not increase, people will raise the issue even more harshly, so it is necessary to work it out to the end.
Increase in other social benefits for pensioners
Since the beginning of the year, other additional monthly payments have increased. The basis was Moscow Government Decree No. 805-PP dated October 31, 2017:
- persons subjected to repression and rehabilitation - 2,000 rubles,
- rear workers - 1,500 rubles,
- veterans of labor and armed forces - 1000 rubles,
- disabled people and WWII participants for consumer products, those who have not completed their work experience, those who were injured in childhood, honorary donors of the USSR - 2,000 rubles each,
- participants who defended the capital - 8,000 rubles,
- widowed Heroes of the USSR or the Russian Federation, Socialist Labor, full holders of the Order of Glory and Labor Glory (not remarried), the parent of a deceased Hero of the USSR or the Russian Federation, old-age or disability pensioners who have merits in sports - 15,000 rubles,
- Heroes of the USSR or the Russian Federation, Heroes of Socialist Labor or Labor of the Russian Federation, holders of the Order of Glory or Labor Glory - 25,000 rubles,
- persons of retirement age who are honorary citizens of Moscow - 50,000 rubles,
- pensioners with other honorary titles - 30,000 rubles.
To obtain information and apply for an additional payment, a pensioner must contact the local Pension Fund office with an application for additional payment and a package of documents confirming this right.
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Minimum and maximum benefits for pensioners
The size of the one-time payment is directly related to the amount that is on the balance of the pensioner’s personal savings account at the time of accrual of his retirement pension. For citizens born before 1967 savings cannot be higher than 5-15 thousand rubles, since funds have been collected for no more than three years.
About 20 thousand rubles will be received by citizens who made contributions for their old age to the account of a private Pension Fund.
If you don't know how much you can take out once in five years, find out about the size of your retirement savings. The funded part is completely identical to pension savings. In this case, the time of pension accruals is taken into account.
To get more accurate information, contact the RF Pension Fund branch. You can also obtain the necessary data using the official State Services portal.
What to do if the employer did not pay contributions to the Pension Fund?
City supplement
So, in 2019, the following will receive monthly financial assistance:
- Home front workers - 1,500 rubles.
- Citizens who have become victims of political repression - 2,000 rubles.
- Labor veterans – 1000 rubles.
- Disabled WWII - 2000 rubles.
Plus, part of the money will be transferred to those who refused any type of service:
- 380 rubles are given to those who refuse free travel on public transport. If you refuse discounts on railway travel – 190 rubles.
- Old people who refuse free medicines will receive 1,100 rubles.
- Those who have written a refusal of free communication services will be able to count on 500 rubles.
As a result, the basic amount of the allowance will increase to an average of 11,500 rubles. For comparison, in the regions this figure is 8,500 rubles.
During the crisis, city budgets were cut across the country. In 2021, many allowances and surcharges were introduced for pensioners in Moscow, but this is hardly a trend. This is connected, first of all, with the elections of the President and the Moscow Mayor, as experts say. S. Sobyanin has already announced his desire to run for a new term, and these measures should help him expand the electorate in the next elections. Plus, there is an opinion that in order to avoid unnecessary expenses, a gradual increase in the retirement age has already been introduced, and then they will continue to replace social benefits with supplements to the insurance part of the pension.
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Pension for working and non-working pensioners
Supplements are provided only to non-working pensioners. Plus, disabled people and a number of working citizens will be able to count on it. The following requirement has been established: a person must live in the capital for at least 10 years, which must be documented. This was also done in order to save the budget - Moscow pensions will only be received by those who are truly permanent residents of the capital, and have not moved there for a while.
The majority of employed pensioners in Moscow, as in other regions of the country, can only count on recalculation of their benefits. The indexation of their payments has been frozen since 2021, and according to forecasts, this situation will remain at least until 2021. They will be able to receive missed increases in payments as early as the next month after dismissal, and automatically, without submitting any documents. The recalculation will be made in August 2021.
Indexation of pensions in 2021, as well as other issues related to indexation of pensions are here.
Government officials motivated this by the fact that working pensioners have more income, since they receive wages + pensions. The same situation applies in Moscow. The pension system, after recent changes, is moving towards providing targeted support.
The Government promises to review the situation with the indexation of pensions of working pensioners next year. But there are no real prerequisites for change. The country's economy still has not stabilized, and it is not yet possible to say what oil prices will be and what impact economic sanctions will have. Namely, money from the sale of resources is used to pay benefits to elderly people, disabled people and other categories of the population in need of government support.
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