Insurance pensions, social benefits grow by 5.4% in Russia on Feb 1
Insurance pensions of over 31.4 million non-working pensioners grew by 5.4% in Russia on February 1, 2017, consistent with the 2016 growth of consumer prices.* The value of individual pension coefficient (pension point), based on which insurance pensions are assigned, currently stands at 78.28 rubles (74.27 rubles prior to February 1, 2017). In addition to the insurance pension, the fixed benefit also grew by 5.4% to 4,805.11 rubles.
Hence, all types of pensions paid by the Russian Pension Fund – insurance pensions, old-age pensions, disability pensions and survivor (loss of breadwinner) pensions of non-working pensioners - grew by 5.4% in February. Working pensioners will be entitled to the larger pensions upon the end of their employment.
An average old-age pension will reach 13,620 rubles in 2017, 467 rubles more than in 2016. The pension will exceed the pensioner’s subsistence minimum by approximately 60%.
The 2017 budget of the Russian Pension Fund allots nearly 230 billion rubles for increasing insurance pensions on February 1. The total allocations for insurance pensions from the 2017 budget of the Russian Pension Fund will amount to 6.4 trillion rubles.
Russian Pension Fund completes payment of 5,000-ruble one-time benefit
A one-time benefit of 5,000 rubles has been paid to all pensioners of the Russian Pension Fund. The benefit was fully funded in the amount of 221.7 billion rubles
Attention payers of insurance contributions
The administering of mandatory pension and health insurance contributions was handed over from the Pension Fund to the Federal Tax Service on January 1, 2017.
Pension fund wishes Happy New Year!
Pension system: what will happen in 2017
In 2017 series of events and changes will happen in the Russian pension system that will affect on all participants of the system of mandatory pension insurance: current and future pensioners, as well as employers.
Increase of pensions and social benefits
In 2017, indexation of pensions will be back to the old order, when the insurance pension indexed on the actual rate of inflation, and state pension, including social pension, - taking into account the growth index of living wage.
That is why insurance pension of non-working pensioners will be indexed on February on the actual rate of inflation - 5.8% (forecast). As a result average size of old-age insurance pension together with fixed payment to insurance pension will be at least 13 657 rubles in 2017. Together with the insurance pension will increase the amount of the fixed payment to it up to 4 823.35 rubles, as well as the amount of pension point - up to 78.58 rubles (74.27 rubles in 2016).
State pension, including social pension will be indexed for the working and non-working pensioners by 2,6 % on April 1. As a result, the average social pension will be not less than 8803 rubles. The average size of the social pension for disabled children and disabled since childhood I group will be 13 349 rubles.
Sizes of monthly cash payment (MPC) which receive federal benefit recipients will be indexed on February 1 by 5.8%.
Insurance pensions will be indexed in August 2017 for those pensioners who worked in 2016.