New pension payment formula will solve the problem of unfair calculation

The Verkhovna Rada expects new initiatives from the government to revise the formula for calculating pensions in Ukraine. This issue concerns not only minor changes, but a deep reform of the system, which, according to experts and pensioners themselves, has been demonstrating a lack of fairness for many years.

The Chairman of the Committee on Finance, Tax and Customs Policy, Danylo Getmantsev, emphasized that the current formula does not meet modern requirements. This becomes especially obvious when comparing the pensions of those who retired in different years. For example, a person who received a pension in 2000 often has a lower income than someone who retired in 2010, despite the same length of service.

The current law “On Mandatory State Pension Insurance” is intended to ensure a fair calculation of pensions, but in practice, everything is different. Human rights activists cite several reasons why the system is not functioning effectively: officials often rely on outdated data for calculations and fail to account for bonuses and allowances. This results in the fact that some pensioners receive only the minimum payments, while others receive much higher ones.

According to the law, the pension calculation formula is based on earnings over the entire insurance period since July 1, 2000. However, this model does not account for numerous factors that contribute to social inequality. In this regard, the government is considering changes, specifically proposing that the pension be calculated based on the insurance contributions paid, which could significantly alter the existing system.

In the context of the war, the issue of pensions has become even more urgent. The number of people in need of social support is constantly growing, while state resources are limited. Currently, more than a third of Ukrainian pensioners receive less than 3 thousand hryvnia, and almost 30% are forced to continue working to make ends meet.

Economists predict that in a few years, the number of pensioners in Ukraine will exceed the number of workers. The burden on each employee will almost double – from 15.7 thousand hryvnias to 28.7 thousand. This means that the problem lies not only in the calculation mechanisms but in the system itself, which is actually on the verge of collapse.

Hetmantsev emphasized that “the formula needs to be revised.” This is not only a question of technical calculations, but also of elementary justice: the state cannot allow different generations of pensioners to have such unequal conditions, depending on the time of retirement.