New rules for indexing pensions
7/02/2017
Unexpected changes in the indexation of pensions for working pensioners occurred due to the introduction of new calculation mechanisms for various categories of citizens 2 years ago. It was then that Law No. 385-FZ for the first time made changes to the payment rules familiar to us and partially suspended the increase in payments for some citizens.
Until that moment, the increase in pensions was carried out annually by the PFR for everyone, regardless of their category. In 2019, indexation is based on the consumer price growth index set by the Government of the Russian Federation and only for a certain category.
Each year, such an increase varies within 5 percent and indeed, until recently, every pensioner was entitled to it.
What types of pensions are not indexed
The new rules do not affect everyone. Restriction in effect only for insurance and fixed payment To her. And besides, only for the category of workers, i.e. there will be no indexation for those who continue their labor activity, having gone on a well-deserved rest. Therefore, all working pensioners today cannot qualify for an annual increase in payments.
Since 2015, the Decree of the Government of the Russian Federation annually approves the coefficient for increasing the size of the fixed payment.
For the insurance pension, which, as we now know, is taken into account in pension points, the concept of the cost of one pension coefficient is applied. It is also annually approved by the Government of the Russian Federation.
You should know that indexed fixed payment, and herself insurance pension corrected by increasing the cost of one pension coefficient (point).
But this does not mean that the pensioner will not be able to receive the due amounts now and will lose the past indexations forever. After dismissal, he quit his job, he is entitled to payments, taking into account all the missed annual pay increase ratios.
Another thing is that such a recovery will occur not right away, and not even from the next month after the dismissal. Payments after dismissal, taking into account the new indexed amounts, are provided only three months after leaving work.
Fixed payment indexation and insurance pension adjustment
For convenience, we provide a complete table of indexation of pensions, taking into account the new approved indices for several years ahead.
Year of indexation | Fixed payment amount | Indexing percentage | Retirement point value | Adjustment factor |
---|---|---|---|---|
January 2015 | 3935,00 | 0,063% | 64,10 | 0,0000 |
February 2015 | 4383,59 | 11,40% | 71,41 | 1,1140 |
February 2016 | 4558,93 | 4,00% | 74,27 | 1,0401 |
February 2017 | 4805,11 | 5,40% | 78,28 | 1,0540 |
April 2017 | 4805,11 | 0,00% | 78,58 | 1,0038 |
January 2018 | 4982,90 | 3,70% | 81,49 | 1,0370 |
January 2019 | 5334,19 | 7,06% | 87,24 | 1,0706 |
January 2020 | 5686,25 | 6,60% | 93,00 | 1,0660 |
January 2021 | 6044,48 | 6,30% | 98,86 | 1,0630 |
January 2022 | 6401,10 | 5,90% | 104,69 | 1,0590 |
January 2023 | 6759,56 | 5,60% | 110,55 | 1,0560 |
January 2024 | 7131,34 | 5,50% | 116,63 | 1,0550 |
The amount of the fixed payment from January 2019 will increase to 5334.19 rubles. Also, Federal Law No. 350-FZ approved the cost of one pension coefficient in the amount of 87 rubles 24 kopecks for insurance pensions.
As a comparison of payments with and without work, consider an example. In the first table, an example where indexation by years is calculated for non-working pensioner after retirement. For the calculation, we took 120 pension points.
Pension indexation table
How is the pension indexed?
As can be seen from the example, the amount of the pension is indexed every year by the approved percentage, because this pensioner does not work. For a pensioner with such a score, the increase in pension from January 2019 will be about 1,000 rubles. Further, the annual surcharge will also remain within one thousand rubles.
The second table shows an example of how the amounts are calculated for working pensioner. On it, we see the cessation of indexation in connection with the introduction of the Law of December 29, 2015 No. 385-FZ. Thus, with continuous work, the pensioner receives his monthly payment at the same level.
According to the calculations, it can be seen that by 2024, for a pensioner who continues to work, the pension will be almost 2 times lower than possible.
How to determine if a pensioner is working
If the considered period of time is counted in the insurance period of the pensioner, then he is working. That is, officially employed persons, individual entrepreneurs, lawyers, clergymen, etc.
In other words, these are insured persons for whom insurance premiums are paid and reports are submitted in accordance with established forms.
Insured persons:
- working under an employment contract, under an author's order agreement, as well as authors of works receiving payments and other remuneration under agreements on the alienation of the exclusive right to works of science, literature, art, publishing license agreements, license agreements on granting the right to use a work of science, literature, arts;
— independently providing themselves with work (individual entrepreneurs, lawyers, arbitration managers, notaries engaged in private practice, and other persons engaged in private practice and not being individual entrepreneurs);
- who are members of peasant (farmer) households;
— working outside the territory of the Russian Federation in case of payment of insurance premiums;
- who are members of family (tribal) communities of the small peoples of the North, Siberia and the Far East of the Russian Federation, engaged in traditional economic sectors;
- clergy.
(Law of December 15, 2001 N 167-FZ)
Rules and terms for indexation of insurance pensions after dismissal
After dismissal from work, the Pension Fund will recalculate payments, taking into account the missed indices during its work. The restoration of the payment of a full (indexed) pension, taking into account the missed indexations, will not occur immediately, but only three months after the pensioner's dismissal.
A sufficiently long period of time has been allotted by legislators to confirm and process data on the fact of work on simplified forms of SZV-M from insurers, followed by the issuance of appropriate decisions on payment by the Pension Fund. And here you can not do without an example.
Consider the dismissal and indexation of a working pensioner on April 3, 2019:
1.
The insured submits monthly information in the form of SZV-M (Resolution of the PFR Board dated February 1, 2016 No. 83p).
Not later than the 15th day of the month following the reporting period - month, submits about each insured person working for him, with whom contracts have been concluded, continue to operate or terminated in the reporting period (labor, civil law, copyright, etc.)
In our situation, a pensioner in April is considered to be working, despite the fact that he was fired at the beginning of the month. And for him, the employer until May 15 is still obliged to provide information about the work. A idle for the Pension Fund, it will be considered from May.
2. According to Part 6 of Article 26.1 of Law No. 400-FZ, a decision on the payment of indexed amounts is made in the month following the month in which the PFR authority received data on work.
In July (following June, in which information about the fact of work for May will be received), the Pension Fund is obliged to calculate and make a decision on the payment of amounts, taking into account the increase due.
3. The calculated amounts of the insurance pension will be paid from the month following the month in which the decision was made (Part 7 of Article 26.1 of Law No. 400-FZ).
In this way, only from August 2019 a person who retired in April will be able to receive a full pension payment taking into account the restored indices.
If, after the restoration of indexed payments, the retired pensioner gets a job again, then its size will not be reduced (part 8 of article 26.1 No. 400-FZ).
Additional payment to the pensioner for the past time after dismissal from work
Indexation of pensions for working pensioners in 2019 will not be carried out as before. But from January 1, 2018, amendments for employees came into force. Article 26.1 of Federal Law No. 400-FZ was supplemented with new provisions for those who quit. You can check out the details.
In accordance with Law No. 134-FZ, upon termination of work, the pensioner will receive a full payment, taking into account the indexation of the fixed payment and the adjustment of the insurance pension, and also the difference between the old and new amounts for the period from the first day of the next month after the termination of work.
When is it profitable for a retiree to retire?
Let's now look at examples when it is beneficial for a pensioner to quit in order to fall under the new Law with an additional payment for the past time from 2019. To begin with, let's recall why all the same, new amounts are paid 3 months after the dismissal.
In accordance with Part 6 of Article 26.1 of Law No. 400-FZ, the decision to pay a full pension is made by the PFR in the month following the month in which information about the fact of work was received (or not received).
If a pensioner, for example, leaves in September 2018, then he will be considered unemployed for a full month only from October (the 1st month after the termination of work). Accordingly, in November (the 2nd month after the cessation of work), the PFR will not receive information about its work for October (information on the SZV-M form is submitted only for working pensioners).
In December (the 3rd month after the termination of work), the pension fund decides that from January 2019 it will be paid an indexed fixed payment and an insurance pension, taking into account the current value of the pension point.
In the considered example, the pensioner will receive new amounts from January. He will also receive an additional payment from November (the month from which he is considered unemployed).
In practice, this means that September is considered the most profitable month for dismissal of a working pensioner. After all, the increase in points is now provided from January 2019. But even if you were late with your dismissal and left your job only in October, your pension will also be indexed, but a month later.
Why is the pension not indexed after dismissal?
If, after the expiration of the period determined for making a decision on indexation, the amount has not increased, then one of the main possible reasons may be the untimely submission of monthly reports by the employer on the fact of work. Of course, the pensioner is not to blame in this case, and the law is completely on his side.
If the employer fails to provide information about the fact of work on time, or provides false information that affect the increase in pension, the size is reviewed by the Pension Fund and for the past (part 9 of article 26.1 No. 400-FZ). This means that in the event of an error in reporting, in which the increased amounts were not paid, an additional payment is also due for the elapsed time from the moment of right.
A situation may occur when incorrectly submitted information about the work affect pension increase. Employer did not submit (or did not submit on time) for a working pensioner, information about the fact of his work and the PFR, on the basis of these data, indexed the employee's pension, considering him unemployed. In this case, the Law is on the side of the pensioner, and if an error is detected, the size will be adjusted from the next month after the error is discovered, and all responsibility in this situation lies solely with the employer.
In this case, the policyholder will be responsible for the overpaid amounts of the pension, incl. subject to penalties in the amount of 500 rubles for each insured person.
Increase in pensions for working pensioners in August 2019
For working pensioners, the next recalculation will be carried out from August 2019. increase to insurance pension will be calculated on the basis of unaccounted points for 2018, which are formed from the funds deducted by the insured for their employees. Such a recalculation is non-declarative and for its implementation no need to apply to the pension fund.
Results
The new algorithm for indexing pensions after dismissal is quite confusing. Summarizing all the rules, we can say that in 2019:
- Indexed pension amounts will still not be paid to working pensioners;
- New amounts will be paid only three months after the dismissal;
- Now the pensioner will receive an additional payment for the “lost” months that were not paid before;
- The total amount of the payment upon dismissal will be indexed by as many indices as they were skipped during the work.
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