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Photo: national currency (NBU press service)
The average size of the indexation will be 259 hryvnia, almost half of the pensioners will receive 100 hryvnia
The Ukrainian Pension Fund (UFP) indexed pensions and in May 2020 will finance the increased payments for 8.36 million people. This was reported by the PFU press service.
According to the press service, pensions are recalculated using the coefficient of increase in the average salary in Ukraine with which insurance premiums in the amount of 1.11 were paid. According to the government decision, the size of the increase as a result of the recalculation cannot be less than 100 hryvnias.
In addition, it was taken into account that the amount of pension payments of the beneficiaries of pensions assigned in accordance with the law “On the compulsory insurance of state pensions” who received insurance experience (men of 35 years and women of 30 years ) cannot be less than 2100 hryvnias.
The recalculation was done automatically (without personal appeals) for 9.9 million pensioners. Pensions increased 8.36 million people. The average increase is 259.41 hryvnias.
According to PFU, the size of the increase will be:
- 100 hryvnias – 45% of pensioners,
- from 100 hryvnias to 400 hryvnias – 37.9% of pensioners,
- from 400 hryvnias to 500 hryvnias – 6.1% of pensioners,
- from 500 hryvnias to 700 hryvnias – 5.6% of pensioners,
- from 700 hryvnias to 1000 hryvnias – 3.1% of pensioners,
- More than 1000 hryvnias – 2.3% of pensioners.
Indexed pensions will be paid from May 4, 2020 on the due dates of payments to pensioners by crediting bank accounts or through Ukrposhta.
Note, as of April 1, the average payment of 11.3 million pensioners amounted to 3,170.14 hryvnia. Therefore, since the beginning of 2020, the average size of pensions increased by 87.16 hryvnia or by 2.8% (as of January 1, 2020, the average size of pensions was 3082.98 UAH).
The Minister of Social Policy, Marina Lazebnaya, said that the decree of the Cabinet of Ministers on the planned indexation of pensions from May 1, 2020, concerns 8.4 million pensioners out of a total of 11.3 million pensioners. As the minister noted, the average increase after indexing will be 260 hryvnia. The smallest increase is set at 100 hryvnia.