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On February 12, part of the 13-month pension will be transferred via a bank, the postal delivery will only start after that, but within two weeks everyone will receive the money – quotes András Tállai MTI, parliamentary secretary of state of the Ministry of Finance, who addressed the Hungarian Nation.
The first step in the 13-month pension will be rebuilt in February, an individual benefit with 25 percent of the January pension.
– András Farkas, an expert in pensions, gave more details, that is, the total amount of the 13-month pension will be rebuilt from 2024.
According to the information from András Tállai, the payment of the quarterly amount is 77-78 billion florins, a total of 2.1 million pensioners will receive this amount of money. In addition to them, another four hundred thousand beneficiaries of benefits similar to pensions will also receive their benefits for the thirteenth year of this year and the treasury will deliver more than ten billion florins.
The amount received as a separate benefit in February shows significant differences among retirees, said expert András Farkas. He said that, according to available statistical data, the number of pensioners receiving the least amount of benefits, that is, 28,500 HUF or less, is less than 18,000.
An amount of HUF 7,125 will be received for them as a step forward in reinstating the 13-month pension.
At the same time, there are retirees whose monthly salary can reach the order of millions.
Only a few dozen people receive more than a million pensions.
However, they are an insignificant minority within the retirement society, they do not determine the image of the retiree society. – András Farkas is striking.
In your case, your 13-month pension benefit this year could be HUF 250,000.
When András Farkas presents how the system works, it turns out that the Hungarian pension system has been designed in such a way that it does not have an upper limit, that is, there is no maximum limit for the amounts of pensions. In this way, it also allows a 13-month pension without restrictions, which will cause very serious financial difficulties in the future, said Farkas, who considers that the established system is a terribly unfair solution.
The expert added that almost all European pension schemes have a contribution ceiling, precisely because the state believes that it is not their job to replace full earnings, this is a matter for the individual and their employer.
According to the statistical data available, the number of pensioners who are forced to earn a living with a pension of 100 and 150 thousand florins per month exceeds 800,000.
In your case, the February bond will amount to 25,000 HUF and 37,500 HUF.
Life is worth living!
It was not just András Farkas who drew attention to the shortcomings of the existing pension system. The National Association of Retirees (NYOSZ) believes that the current system cannot be maintained, so they have put to a vote the proposals they consider feasible to reform the pension increase system. As reported by the index in early January, NYOSZ believes that the amount of the minimum old-age pension should be increased to at least 50,000 HUF.
László Juhász, the head of the pensioners section of the Hungarian Trade Union Confederation, also agrees with the NYOSZ proposal. This decree stipulates, among other things, that a dignified life must be provided for all the elderly. But, as László Juhász said,
the amount of the minimum old-age pension is not enough for this.
As proposed by the national association
should move to a differentiated pension system,
that is, those with a higher pension should have a smaller increase in the amount set each year, and those with a lower pension should receive a larger increase.
(Cover image: Elderly shoppers in front of a store on November 24, 2020. Photo: Zsolt Szigetváry / MTI)
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