Incorrect indexation: how to achieve a fair recalculation

Starting on March 1, pensions in Ukraine increased, but the indexation rate varied across pensioner groups. This led some citizens to receive a smaller increase than expected under the general government resolution. In some cases, these actions can be appealed in court.

According to OBOZ.UA, the Ukrainian government approved indexation of pensions and insurance payments by 12.1%. The Ministry of Social Policy emphasized that this figure exceeds the 2025 inflation rate, estimated at approximately 8%.

However, in practice, not all pensioners received a 12.1% increase. The changes affected those who retired recently, since the newly assigned payments are only partially indexed.

For example, if a pension was assigned in April 2025, its increase in March 2026 will be only about 2.4%. This means that a payment of 5,000 hryvnias after recalculation will increase only to 5,120 hryvnias, and this amount may remain unchanged until the next indexation.

Experts warn that inflation may significantly exceed this increase in the future. For example, under an optimistic price-growth scenario of about 5% per year, total inflation over two years may exceed 13%. In this case, to maintain purchasing power, the pension should be approximately 5,650 hryvnias, although the actual payment will be much lower.

This year, the increase in pensions depended on the year of retirement:

For those who retired in 2021-2022, an increase of about 6.1%.

For pensions assigned in 2023, about 4.8%.

For payments issued in 2024, about 3.6%.

For pensioners who retire in 2025, it is only 2.4%.
The government explains this system by the intention to reduce the difference between the pensions of the older and younger generations. However, according to experts, this means new payments are indexed more slowly and are prone to losing purchasing power.

It is worth noting that the Supreme Court expressed the opinion that such approaches may be illegal. Therefore, pensioners have the right to apply to the court for the recalculation of payments, with full consideration of indexation.

In addition, information about reaching 1,000 hryvnias for pensioners became available, along with the conditions for issuing these additional payments.

It was also reported that Ukrainians without the required insurance experience can receive an alternative pension.

Finally, it was noted that some Ukrainians may lose some benefits related to insurance experience.