INSS benefits will have adjustments in 2021; SEE



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In accordance with Budget proposal 2021, The minimum salary proposed by the Federal Government is R $ 1,067 by 2021. The new value represents a increase of R $ 22 in relation to the current minimum wage of R $ 1,045. In this way, the value of the pensions paid by the INSS will follow the value of the minimum wage.

After increasing minimum wage planned for 2021, INSS benefits will also be adjusted based on this amount.

Thus, if the government continues with the proposal of R $ 1,067 for 2021, the current 35 million retirees and pensioners will have a readjustment of 2.10% in 2021. The payment ceiling would exceed the current one R $ 6,101.06 for R $ 6,229.18.

The increase is not considered a real gain, that is, above inflation, since current minimum wage, Not value of R $ 1,045, was defined based solely on the 2019 inflation. Therefore, purchasing power is stagnant.

Salary correction

In 2019, the government ended the policy of real adjustment of the minimum wage. Thus, now the value of wages is limited to following the determination of the Constitution, which speaks of preserving the purchasing power of workers.

The real gain of the minimum wage was implemented by Fernando Henrique Cardoso (PSDB) informally in 1994, shortly after the adoption of the Real Plan. The PT administrations made the measure official.

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Without a real gain in the minimum wage, the government achieves financial relief, as the increase in the minimum wage automatically adjusts assistance and social security benefits. For each increase of R $ 1 in the minimum amount, the government increases expenses by approximately R $ 355 million per year.

Unchanged purchasing power

It should be noted that the possible decrease does not mean that the worker earns less. The readjustment of the minimum wage varies according to the increase in prices, registered in function of inflation rates.

That is, the workers will receive the purchasing power that will be adjusted according to the inflation index (general increase in the price level).

The economist Clovis Scerer, supervisor of the Inter-Union Department of Statistics and Socioeconomic Studies (Dieese), agrees with the increase in purchasing power caused by the readjustment. However, he explains that there may be a “perpetuation of scarcity.”

Dieese’s calculations show that more than 49 million Brazilians live on a minimum wage. Currently, the monthly remuneration must be higher than R $ 4 thousand reais (R $ 4,694.57 in total) per month and not R $ 1,045.00.

To calculate the minimum wage, the government considers the growth of the Gross Domestic Product (GDP) and the inflation of the previous year.

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