Government decides to index pensions by 11%

In late February, the Cabinet of Ministers adopted a resolution stating that from March 1, pensions will be indexed at 11%. The pension will increase by an average of UAH 308, its minimum level of increase is set at UAH 100

Categories that fall under the new calculation:

  • retirees by age;
  • pensioners, recipients of disability pensions;
  • pensioners who receive a survivor’s pension;
  • citizens who receive a pension for years of service ..

Elderly people who retired in 2021 will not receive a recalculation, because the indexation applies only to 2020.

Also without indexation will remain: military retirees, former civil servants and people on well-deserved rest, who receive a maximum pension of 17,690 hryvnias.

A new indexation of pension benefits will take place in April.

So by what calculation can you get a pension? This process is influenced by rising inflation, for example, in 2020 the figure was 5%, the second factor is the increase in average wages, at the time of 2020 it was 17%. Therefore, these indicators are added and divided into two. The following formula is obtained: (5 + 17): 2 = 11.

For those whose pension increase by this calculation plus eleven percent will be less than UAH 100, the additional fee is rounded up to UAH 100.