Social old-age pension in 2021: size and procedure for assignment

Pension in 2021: latest news

The issue of raising the retirement age in Russia has been actively discussed for many years, but the authorities have not decided to do so. Vladimir Putin said during a big press conference at the end of 2021 that raising the retirement age is a matter of time. At the same time, he emphasized that this should not be a shock decision and will not affect those who have already retired. Experts say that within 15 years this issue will be resolved. If the economic situation worsens, these terms can be reduced to 10 years, that is, by 2028. And we can see the beginning of changes from January 1, 2021.

Recalculation of pensions for old-age pensioners in 2021

In 2021, old-age pensions were raised again only for non-working pensioners. It was already known that payments for working pensioners would not be increased.

Pensions for working pensioners have been frozen since 2021. Inflation in 2015 turned out to be quite high, and pensions then had to rise by at least 12.9%, by which the ruble depreciated a year earlier.

However, the government then found funds only to increase pensions by 4% at the beginning of the year. Then they talked about finding money for another increase in the fall, but they never found it.

Working pensioners did not receive even that 4% that time, and older Russians who have been working on pensions since 2015 or even earlier continue to receive pensions at the 2015 level. All the promotions that happened in Russia after that did not concern them.

In 2021, pensions for non-working pensioners were increased by an even higher percentage compared to official inflation in 2017. In addition, indexing was done earlier than usual.

The standard practice for indexing old-age pensions in Russia is as follows:

• in January, Rosstat will publish statistics on the level of inflation in Russia for the past year,
• in February, pensions are indexed to this inflation level.

Pension increase on April 1, 2021

The current increase will increase the average amount of social payments by 200 rubles. Categories of residents who receive a larger pension will notice an increase of almost 400 rubles. For disabled people of group 1. Currently, the amount of social benefits is 10,068 rubles. After indexation, disabled people of group 1 will receive 10,360 rubles. For disabled people of group 2, disability group 2 guarantees a lower benefit amount. Today it is 5,034 rubles. After indexation, its size will increase to 5,180 rubles. For disabled people of group 3 The base rate for disabled people of group 3 today is 4,279 rubles. After the increase, the pension will increase to 4,403 rubles. Disabled children and people with disabilities since childhood Persons over 18 years of age are considered disabled since childhood, if their illness appeared before adulthood. The amount of payments depends on the degree of disability. Disabled people from childhood of the 1st group receive 12,082 rubles, will receive 12,439 rubles, 2nd - 10,068 rubles, will receive 10,360 rubles. Small peoples of the North Those of them who have reached 55 years of age (men) and 50 years of age (women). Today the amount is 5,034 rubles. After April indexation, it will be 5,180 rubles. Upon reaching 60 and 65 years old. Currently, the pension amount is 5,034 rubles. After the increase, it will be 5,180 rubles. For the loss of a breadwinner for children under 18 or 23 years old Today, children who have lost 1 parent are entitled to a monthly payment of 5,034 rubles. (will be 5,180 rubles), both parents - in the amount of 10,068 rubles. (will be 10,369 rubles) Let us recall that in January 2018, social payments increased by 3.7%. Currently, old-age pensioners in Russia receive 14,075 rubles (average value, varies depending on the region).

Who receives a social pension in Russia

State allowance is calculated based on several criteria and is based on:

• Upon reaching the age limit and lacking insurance coverage or pension coefficients.
• Disabled people of groups 1, 2, 3 and people with disabilities since childhood who have reached adulthood but have never been employed or worked unofficially (without making contributions to the Pension Fund). The time and reason for incapacity for work do not matter. The category must be determined based on the results of a medical and social examination.
• For disabled children. This category includes minors with congenital or acquired disabilities.
• Due to the loss of a breadwinner. If, after the death of a person, his family has minor children or other disabled dependents, they can apply for pension benefits. The age of children is limited to 18 years, but if they are students or full-time students of educational institutions, the age limit is set at 23 years.
• Indigenous residents of small peoples of the Far North and other areas included in this list.

Living wage for a pensioner in 2018-2019

In the field of pensions, according to Mr. Topilin, the main task of the Ministry of Labor is to index pensions at a level above inflation . Starting in 2014, the government abandoned this practice due to the rapid rise in prices (then inflation was 12.5%), but indexation may return in 2018–2019, despite difficulties with the Pension Fund budget.

Gradually, with ongoing indexation and economic growth in the country, the cost of living returns to the pre-crisis period. So for pensioners, the cost of living will start at 8,000 rubles. This is the minimum threshold for accruals. The full amount of charges will depend on the region where the person lives.

Indexation of monthly payments to certain categories of citizens

Along with the indexation of the old-age pension by 3.7% from the beginning of 2018 to all non-working pensioners who are entitled to an insurance pension due to reaching the age limit, the Decree of the Capital Government provides for an increase in additional payments for certain categories of citizens in 2021:

Old-age pension in 2021 - the minimum amount, indexation in February and how to calculate the amount to be accrued Benefits for pensioners in 2018 - what social federal or regional payments are due and their size Supplement to the pension for children in 2021 - who is entitled to it, registration procedure, documents and payment amount calculation

Insurance pension in 2021

During the period of pension reforms being carried out today, the calculation of insurance periods for employees, translated into points, is constantly changing. Every year, insurance periods for pensions are increasing. To receive an old-age pension in 2021, you must have at least 9 years of work experience and at least 13.8 pension points . According to the ongoing reform, in 2025 the size will reach its maximum value of 15 years.

For an example of calculating an insurance pension, see this article.

Pension in Moscow from January 1, 2018

The social policy pursued by the government helps to improve the well-being of the population. According to the law, indexation of pensions in 2021 in Moscow, as well as throughout the country, is calculated based on the inflation rate at the end of the year. Since separate types of pension benefits are established for different categories of citizens, the indexation of the amount of payments occurs on different dates. The first recalculation takes place on February 1, when insurance pensions for unemployed citizens are indexed. From April 1, the amount of social pensions for all categories is being revised.

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2018 was an exception. The government did not wait for February, so as of January 1, insurance pensions increased by 3.7%, which is higher than the inflation forecast for 2021. In this way, the country’s leadership tried, although not by much, to increase the real amount of pensions. If we look at the draft budget for 2021, then from April 1, the indexation of social payments should be 4.1%. The figure is not final, so it may be revised depending on the current economic situation.

Legal regulation

The main document that serves as the foundation for the indexation of pensions in 2021 in Moscow through additional annual and monthly payments is the decree of the capital’s Government numbered 805-PP, signed on October 31, 2021. According to the adopted document, changes are made to Resolution No. 1005-PP dated November 27, 2007, thereby increasing social and other payments to various categories of citizens with capital registration.

Who is entitled to an increase in pensions?

How much the pension will increase in Moscow in 2021 depends on which preferential category the citizen belongs to. If you refer to Resolution 805, it clearly identifies the persons who have the right to claim additional payment. An important point is the introduction of new surcharges that did not exist before. If the indexation of pensions in 2018 in the capital from January will affect all non-working citizens who have reached the age limit, then pension supplements will be awarded only to certain people, among whom are:

• home front workers;
• labor veterans;
• participants in the defense of Moscow;
• military veterans (including participants of the Great Patriotic War);
• citizens who have been awarded the title of Hero;
• honorary citizens of the capital.

Additional one-time payments will be received by:

• Long-lived pensioners are individuals who are 101 years of age or older.
• Married couples in honor of the anniversary of their marriage.

The innovations will also affect artists who are on vacation and have the following titles:

• Honored Artist;
• National artist.

How does your pension grow?

After indexation, the cost of the pension point in 2021 was 81.49 rubles, and the size of the fixed payment was 4982.90 rubles. As a result, according to the Pension Fund of Russia, the average annual old-age insurance pension for Russian pensioners increased to 14,075 rubles.

How the pension has increased since 2015 is clearly presented in the table:

Let us remind you that pension indexation is carried out only for non-working pensioners.

What recalculation awaits old-age pensioners in 2021?

This topic is very difficult and is connected with plans to increase the retirement age in Russia.

The authorities, planning to raise the retirement age, emphasize in their propaganda that thanks to this step, pensions for existing pensioners will become higher. They cite as an example the average amount of increase in pensions by 1 thousand rubles per month.

They also talked about the preliminary size of pension indexation at the beginning of 2021 - this is 7%, which is also higher than the inflation rate of 2021 (expected to be around 4%).

Whether it will be possible to recalculate pensions for pensioners at the beginning of 2021 by this 7% will depend on the success of the proposal to increase the retirement age in Russia. If the draft law is mainly adopted in the version submitted to the State Duma, then, probably, this indexation will take place. If the unpopularity of a possible increase in the retirement age in society, coupled with the activity of citizens, force the authorities to compromise (say, delay the reform), then pensions will certainly become higher by a lower percentage.

Recalculation of pensions for working pensioners in August 2018

Working pensioners, although they currently do not have the right to have their pensions indexed by the percentage of inflation until at least 2021, are nevertheless subject to a certain recalculation every year.

It is due to the fact that the pensioner continues to work and accumulate pension points.

In August 2021, pensions for working pensioners will increase slightly based on their work results last year. The maximum increase in pensions will be worth 3 pension points. At the same time, the cost of points at the time of freezing the pension.