Increasing pensions for military pensioners from October 1, 2020

Increase in military salaries from October 2020

From October 1 this year, there will be an increase in pay for law enforcement officers.

The corresponding decree was signed in advance by the Chairman of the Russian Government, Mikhail Mishustin. Salaries of military personnel and security forces in Russia will increase by 3%.

“Increase from October 1, 2020 by 1.03 times: salaries for military positions and salaries for military ranks of military personnel performing military service under a contract; salary amounts for military positions of military personnel undergoing military service upon conscription; the size of official salaries and salaries for special ranks serving in the troops of the National Guard of the Russian Federation and having a special rank of police,” the document says.

The same salary increase of 3 percent awaits employees of the Federal Penitentiary Service, the Ministry of Internal Affairs, the Ministry of Emergency Situations, as well as customs officers and the commanding staff of courier communications authorities.

Let us note that earlier Russian President Vladimir Putin signed decrees to increase wages by 1.03 times (that is, also not 3%) for the chairman of the Investigative Committee, the Prosecutor General, as well as government officials.

Along with the salaries of military personnel, pensions are also increasing.

What to expect in 2020

A special bill, which was adopted at a general meeting back in 1993, regulates the issue of pensions for military personnel. Today, the law on pensions for persons who served in military service can be studied in Resolution No. 4468.

The resolution also regulates the issue with other structures of government bodies that have dedicated their entire lives to their homeland. However, despite their services to the fatherland and extremely difficult work, the government nevertheless introduced a change to their retirement age.

Military personnel will retire on the same basis as ordinary citizens. It is worth recalling that according to the new legislation, the retirement age will be as follows:

Women - 60 years old
Men – 65 years old

This nuance has caused quite a lot of controversy. Since in the coming year there will be a reorganization of entire divisions. Many military personnel will be forced to leave for civilian positions. The cancellation of indexing has not been confirmed; all military personnel will be able to receive a one-time payment as in 2020.

However, the age will rise by one year each year. The government understands that a rapid increase in the retirement age can cause a huge amount of negativity, which will affect the work of military personnel.

Payments will also be transformed; for many individual categories of military personnel they will even be raised. Citizens who participated in hostilities in Syria and Ukraine will also be able to receive additional payments.

Disabled people who suffered while in service will also receive support. They plan to increase their benefits by a small percentage, based on the latest inflation data.

It is also worth noting that early retirement, due to length of service, will be increased by five years. If previously it was necessary to serve at least 20 years, then from 2020 the threshold will increase to 25 years.

Increase in military pensions in October 2020

As you know, there are no former military men. Even after they retire, military retirees remain integrated into the system of law enforcement agencies. The growth of their pensions is directly related to the increase in the pay of active military personnel.

Pensions of military personnel will also increase from October 1 and by the same amount - 3%.

Let us recall that last year pensions of security forces increased by 6.3%. Then military salaries increased by 4.3%, and another 2% was added to pensioners so that the growth of pensions exceeded inflation.

This year there will be no increase in excess of inflation for pensioners of law enforcement agencies. Pensions will increase only by the percentage of salary increases, that is, by 3%.

How to get an increase in your military pension

The basis for increasing pensions for former military personnel is Federal Law No. 460-FZ (adopted in December 2020). Citizens do not need to apply for recalculation and increase in pension payments, i.e. the whole process will take place automatically. Since the law was adopted at the end of 2020, all the necessary funds were provided for in the budget in advance, and the pension authorities of the RF Ministry of Defense had time to prepare the recalculation.

As follows from Law No. 460-FZ, for the purposes of calculating pensions, the indicator used is 73.68% of the pay of regular military personnel . Information on the amounts of salaries included in the salary for positions and ranks is publicly available, so each pensioner can calculate the amount of the increase himself.

Law No. 460-F actually cancels the moratorium on increasing allowances. Therefore, starting from 2020, the schedule of regular indexations should return to normal, i.e. will be 2% per year . If the state decides to freeze increases in wages and pensions again, it will have to pass a new law.

From October 2020, the procedure for receiving pensions will change

If you receive your pension not through Russian Post, but on a bank card, then it will be useful to consider the following information.

Let us remind you that from October this year, pensions and other social benefits will be transferred only to cards of the National Payment System MIR, as well as accounts or deposits.

In order for your pension to arrive on your card from October, as before, you need to apply for a MIR card at the bank and provide new details to your pension service department.

Why is the government taking extreme measures?

A change in the retirement age is not the only thing that awaits military personnel who will still have time to retire in the coming years. Recent news suggests that all pensions will now be subject to equalization. For comparison, it’s worth taking an ordinary employee who, at the age of 20, decided to go into contract service. After working for 25 years under the new legislation, he will be able to retire at 45 years of service. Also, his pension, if the rank is not higher than sergeant, will be about 10 thousand rubles.

The same amount of pension awaits a military personnel who will carry out his activities until he is 65 years old. However, it is worth taking into account various allowances and benefits.

Also, during 2020, an interregional abolition of indexation of pensions was announced. This means that military personnel received only one lump sum payment from the state. As inflation rises every year, military personnel worry that pensions are not changing. The consumer basket is losing its weight, and there is no longer enough money.

Today, all military personnel are concerned about two main issues:

Can we count on indexing in 2020?
What additional benefits will be introduced to improve the well-being of citizens.
Will the reform of pensions for military personnel in 2020 make it possible to make it higher than in 2020?

The answer to these questions can be given now. Since most of the innovations have received approval from the governing bodies. Benefits and benefits will remain unchanged. It is also worth noting that the retirement age will be increased according to a special grid. You can find out about it on the official website of the Russian Pension Fund.

Assignment of pensions to military pilots

Pensions for this category of military personnel are calculated using a special method and are higher than average than for ordinary citizens in the country. Women with 20 years of service and men with 25 years of service receive the right to retire. Military pilots are considered to be military personnel who flew:

strategic and tactical bombers;
fighter;
military air transport;
helicopter pilots.

The government has also approved a list of positions that are subject to long-service pensions.

Pilots. These include:
test pilots;
parachutists.
Engineers who worked in military aviation and were involved in the development and testing of its systems.
Personnel supervising tests and inspecting flight crews.

Payments consist of the following parameters: rank and position, additional payments for length of service and other allowances (for disability, minor dependents, regional coefficient, participation in hostilities). All this can also be calculated on a calculator. According to experts, the average pension of pilots by 2024 will reach 23.5 thousand rubles.

Will there be indexing?

In this sense, the military pension reform promises to be more positive. In accordance with official statements by representatives of the Ministry of Defense of the Russian Federation, in the near future retirees will be able to hope for at least 2 stages of increasing social payments

the first will take place on October 1, 2020;
the second – October 1, 2020.

The value of the reduction factor will remain unchanged - 4% in accordance with the current salaries of active military personnel. The forecast for the growth of pensions for military personnel, depending on rank and position, will be within the following limits:

For this purpose, the authorities have already allocated 22.6 and 41.2 billion rubles from the state budget. With such measures, the government plans to somehow support retired pensioners and soften their lives in conditions of steadily growing inflation, and, consequently, increasing prices for food, utilities, etc.

What will be the payments?

The latest news that was published on the official website of the Ministry of Defense is more than positive. In the coming year, military personnel will be able to receive an increase in payments. It is worth noting two main nuances:

The first increase and indexing will be carried out on January 1, 2019.
The second increase is targeted for October 2020.

The coefficient remains the same as it is equated to the overall inflation rate in all regions. More than 20 billion rubles have already been allocated for the increase, so the transition will be smooth and uninterrupted.

The volume of upcoming payments can be seen in the table of long-service pensions. The data has already been published on official resources and is therefore not subject to change.

Cash bonuses for working military pensioners

When amendments to the Constitution of the Russian Federation were being developed, it was argued that those pensioners who continued their working activities after reaching retirement age would be included in a separate list of citizens for whom indexation would be carried out.

As a result, a norm appeared in the Constitution of the Russian Federation according to which mandatory indexation of pension contributions should be carried out. This year, the President of the Russian Federation personally stated that this clause of the country’s basic law will be supported. However, according to the latest information, there is still no final decision made on this issue. According to experts, it is possible that a decision made in the future will not be in favor of the interests of retired military personnel.

Increase in military pensions and salaries of the State Defense Ministry in 2021

Conclusion of the State Duma Committee on Defense on the draft budget 2021 regarding the indexation of military pensions.

The Defense Committee notes that, in accordance with Appendix No. 2 to the List of public regulatory obligations to be fulfilled at the expense of the federal budget, for 2020 and for the planning period of 2021 and 2022 of Law No. 380-FZ, the volume of budget allocations in 2021 for the payment pensions for military personnel and persons equivalent to them were based on an estimate of the number of “military pensioners” - 2,738 thousand people.
The bill provides for budgetary allocations in 2021 in the amount of 797.52 billion rubles based on the estimated number of “military pensioners” - 2,694 thousand people. Contrary to the opinion of the authors of the Bill, there is actually a decrease in the number of “military pensioners” by 44 thousand people. The bill provides for budgetary allocations in 2021 in the amount of 797.52 billion rubles from the estimate of the number of “military pensioners" - 2,694 thousand people, in 2022 in the amount of 414.75 billion rubles from the estimate of the number of "military pensioners" - 2,771 thousand people, in 2023 in the amount of 402.07 billion rubles from the estimate of the number of "military pensioners" – 2,894 thousand people.

At the same time, the explanatory note to the bill notes that budget allocations for 2021–2023 have been adjusted taking into account the indexation of pensions for military personnel and persons in 2021 by 3.7%, in 2022 by 4.0% and in 2023 by 4%. equal to them in terms of pension provision from February 1

, which is not true. In addition, the State Duma Committee on Defense believes that this is misleading the deputies of the State Duma.

Pensions for persons discharged from military service and members of their families are assigned in the manner prescribed by the Law of the Russian Federation of February 12, 1993 No. 4468-I “On pension provision for persons who served in military service, service in internal affairs bodies, the State Fire Service, bodies on control over the circulation of narcotic drugs and psychotropic substances, institutions and bodies of the penal system, troops of the National Guard of the Russian Federation, and their families” (hereinafter referred to as Law No. 4468-I).

In accordance with Article 49 of Law No. 4468-1, “military pensions” are subject to revision:

a) simultaneously with an increase in the monetary allowance of the relevant categories of military personnel and employees based on the level of increase in monetary allowance taken into account when calculating pensions ( the amount of monetary allowance for military personnel must increase (or be indexed) taking into account the level of inflation (clause 9 of Article 2 No. 306-FZ)

;

b) from January 1 of each year, taking into account the increase in monetary allowance taken into account when calculating the pension ( i.e. changes in the “reducing factor”

), established by part two of Article 43 of the Law (from January 1, 2012, it was set at 54% and starting from January 1, 2013, it must annually increase by 2% until it reaches 100% of its size).

Moreover, in accordance with part three of Article 49

Law No. 4468-1 pensions, minimum pensions, pension supplements, increases and increases in pensions are subject to revision if any of the grounds specified in this article arise,
including those that arose simultaneously
.

Despite this, the Government of the Russian Federation submitted to the State Duma bill No. 1027752-7 “On the suspension of Part 2 of Article 43 of the Law of the Russian Federation of February 12, 1993 No. 4468-I “On pension provision for persons who served in military service, service in bodies internal affairs, the State Fire Service, authorities for control over the circulation of narcotic drugs and psychotropic substances, institutions and bodies of the penal system, the Federal Service of the National Guard Troops of the Russian Federation, and their families" in connection with the Federal Law "On the Federal Budget for 2021 and for the planning period of 2022 and 2023" (hereinafter referred to as Bill No. 1027752-7), which freezes until January 1, 2022 the change in the "reduction coefficient" (from October 1, 2020 it is 73.68%), while the indexation of military pay According to the bill, the forecast inflation rate is planned in 2021 from October 1 to 3.7%, in 2022 from October 1 to 4.0% and in 2023 from October 1 to 4.0%.

Thus, an increase in “military pensions” is legally possible only in accordance with paragraph “a” of Part 1 of Article 49 of Law No. 4468-1, namely in 2021 from October 1 by 3.7%, in 2022 from October 1 by 4 .0% and in 2023 from October 1 by 4.0%.

At the same time, please note that the indexation of insurance pensions for citizens will be carried out from January 1, 2021 by 6.3% (from January 1, 2020 by 6.6%, in 2020 from January 1 by 7.05%, and “military pensions" from October 1

2020 by 3% and by 6.3% from October 1, 2020).

In accordance with paragraph two of Article 16 of the Federal Constitutional Law of December 17, 1997 No. 2-FKZ “On the Government of the Russian Federation” (hereinafter referred to as Federal Constitutional Law No. 2-FKZ), the Government of the Russian Federation must ensure the implementation of a unified state social policy and the implementation of the constitutional rights of citizens in the field of social security.

An analysis of the growth of pensions in the Russian Federation shows that for many years now there has been a lower level of indexation of “military pensions” than insurance pensions for citizens, which appears to be discriminatory.

At the same time, the increase in “military pensions” from October 1 instead of January 1 does not even compensate for the level of estimated inflation. These factors reduce the role and significance of military service, as military labor involving a risk to life, which is incomparable with civilian labor.

Thus, in the opinion of the Defense Committee, the requirements of Federal Constitutional Law No. 2-FKZ in terms of a unified state social policy are not systematically fulfilled by the Government of the Russian Federation.

This situation is further aggravated by the fact that the Government of the Russian Federation, in practice, for the seventh year already, has been evading the implementation of legally established pension guarantees for citizens discharged from military and equivalent service, and Decree of the President of the Russian Federation of May 7, 2012 No. 604 “On further improvement military service in the Russian Federation" (hereinafter referred to as Decree No. 604), by introducing laws to the State Duma on the suspension of certain provisions of legislative acts of the Russian Federation in connection with the adoption of the next federal budget (in particular, part 2 of Article 43 of Law No. 4468-I) and ignoring the requirements of subparagraph “d” of paragraph 1 of Decree No. 604, which instructs the Government of the Russian Federation to ensure an annual increase in pensions for citizens discharged from military service by no less than 2 percent above the inflation rate.

The President of the Russian Federation V.V. Putin, in his Message of January 15, 2020, noted that all the parameters set in the “May” decrees of 2012 must be strictly observed.

The requirements of subparagraph “d” of paragraph 1 of Decree No. 604 were ignored by the Government of the Russian Federation in 2020.

The situation according to the Draft Law is similar in 2021; the requirements of subparagraph “d” of paragraph 1 of Decree No. 604 are also not taken into account. The bill provides for an inflation rate of 3.7% in 2021. Therefore, in order to fulfill the requirements of subparagraph “d” of paragraph 1 of Decree No. 604, taking into account the inflation rate of 3.7%, it is necessary to bring the indexation of the “military pension” to 5.7%.

The Defense Committee notes that the systematic failure to comply with the requirements of Decree No. 604

The Government of the Russian Federation is a violation of paragraph 2 of Article 90 of the Constitution of the Russian Federation, according to which decrees and orders of the President of the Russian Federation are binding on the entire territory of the Russian Federation, and paragraph five of Article 20 of the Federal Constitutional Law of December 17, 1997 No. 2-FKZ “On the Government” Russian Federation", according to which the Government of the Russian Federation provides social guarantees for military personnel and other persons involved in the defense or ensuring state security of the Russian Federation in accordance with federal laws.

Along with this, the Government of the Russian Federation constantly ignores the requirements of the State Duma resolutions.

Thus, the requirement of State Duma Resolution No. 2835-7 GD of November 24, 2020 was ignored, according to which the Government of the Russian Federation was asked to ensure that during 2020 the requirements of subparagraph “d” of paragraph 1 of Decree No. 604 are fully implemented.

By Resolution of the State Duma of November 19, 2020 No. 7110-7 GD, the Government of the Russian Federation was also asked to ensure that during 2020 the requirements of subparagraph “d” of paragraph 1 of Decree No. 604 are fully implemented in terms of the annual increase in pensions for citizens discharged from military service, not less than 2 percent above the inflation rate.

This requirement of the State Duma was ignored by the Government of the Russian Federation by default.

This attitude of the Government of the Russian Federation towards “military pensioners” actually discredits the legally established mechanism for pension provision for military personnel.

Thus, with regard to the increase in “military pensions” in accordance with paragraph “a” of part 1 of Article 49 of Law No. 4468-1 (simultaneously with an increase in pay for the corresponding categories of military personnel), the Defense Committee notes that from 2012 to 2020 inclusive Part 9 of Article 2 No. 306-FZ was suspended, according to which salaries for military positions and salaries for military ranks must be increased (indexed) annually taking into account the level of inflation (consumer prices) in accordance with the federal law on the federal budget for the next financial year and planning period.

Thus, even if the indexation of military pay planned for 2020 and 2021 is implemented, the amounts that could be achieved in 2020 if the Government of the Russian Federation unconditionally complied with the specified norm on indexation will not be achieved even in 2021.

At the same time, due to the suspension in 2012–2020 of the above norm for increasing “military pensions” in accordance with paragraph “b” of part 1 of article 49 of Law No. 4468-1, in the period from 2014 to 2020 a higher growth rate of “reducing pensions” was set coefficient,” which, according to the Russian Ministry of Finance, should have been 72% by January 1, 2021 with the unconditional implementation of Law No. 4468-1, and as a result of the measures taken it is 73.68%.

The Defense Committee does not agree with this opinion, since even the higher growth rate between 2014 and 2020, the “reduction factor” did not even cover the inflation rate.

At the same time, it should be taken into account that when introducing the second part of Article 43 of Law No. 4468-1, the Government of the Russian Federation pledged to ensure that “military” pensions exceed “civilian” pensions by no less than 1.7 times.

According to the bill (Appendix No. 1 to the List of public regulatory obligations to be fulfilled at the expense of the federal budget for 2021 and for the planning period of 2022 and 2023), the average annual payment per recipient of a “military” pension in 2021 will be 296.0 thousand . rubles, therefore the average monthly payment per recipient of a “military” pension in 2021 will be 24,667 rubles. When speaking on October 22, 2019 at a plenary meeting of the State Duma, First Deputy Minister of Finance of the Russian Federation L.V. Gornin said the pension (taking into account indexation of 3% from October 1, 2020) will be 26,968 rubles as of October 1, 2020. According to the Russian Ministry of Labor, the average insurance pension from January 1, 2021 (taking into account indexation of 6.3% from January 1, 2021) will be 17,443 rubles; according to the Pension Fund of Russia, the average insurance pension is currently 16,500 rubles. As of October 1, 2020, taking into account the increase in “military” pensions by 3% from October 1, 2020, the ratio of “military” pensions to “civilian” pensions was 1.63:1. As of January 1, 2021, the ratio of “military” pensions to “civilian” pensions will be only 1.5:1 (26968/17443=1.5; 24667/17443=1.4). Even after the planned increase in the “military” pension by 3.7% from October 1, 2021, the ratio of 1.7:1 will not be achieved (26968*1.037/17443=1.6; 24667*1.037/17443=1.46).

Thus, as a result of budget legislation, the “under-indexation” of “military pensions” currently amounted to more than 25% (i.e., a quarter of the amount of the “military pension”). This led to the fact that the size of the “military pensions” of private and non-commissioned personnel of military personnel was almost equal to the size of insurance (labor) pensions, and sometimes less (as of May 2020, the size of the “military pension” by category: private - 8,312, 14 rubles, foreman - 14,576.37 rubles, warrant officer - 15,585.25 rubles, while the minimum wage in 2020 is 12,130 rubles).

Along with this, due to the legislatively established accounting of the incomplete amount of monetary allowance taken into account when calculating the “military pension” (reduction factor), budget “savings” from 2012 to 2020 amounted to about 2.8 trillion rubles.

In July 2020, the Defense Committee sent appeals to the Chairman of the Government of the Russian Federation and to the federal executive authorities providing pensions to military personnel and persons equivalent to them, with a request to prevent the suspension of the provisions of Law No. 4468-I and the strict implementation of its requirements, as well as requirements of Decree No. 604 (regarding the annual increase in pensions for citizens discharged from military service by at least 2 percent above the inflation rate) when forming the budget for 2021 and the planning period 2022-2023.

The proposals of the Defense Committee in the presented bill were ignored.

The Defense Committee regrets that:

over the 9 years of existence of Part 2 of Article 43 of Law No. 4468-I (from January 1, 2012), its operation was suspended 6 times and will be suspended for the seventh time;

over the 9 years of existence of subparagraph “d” of paragraph 1 of Decree No. 604 (since May 7, 2012), it was implemented only once (in 2020) and its implementation is not planned in 2021.

These actions of the federal legislator do not contribute to the formation of citizens' trust in the actions of the state, undermine the prestige of military service and lead to an increase in social tension among recipients of “military pensions.”

In order to avoid violation of paragraph 2 of Article 90 of the Constitution of the Russian Federation, to stop discrimination against “military pensioners” in relation to other pensioners, as well as to implement Law No. 4468-I and Decree No. 604, the Defense Committee insists on bringing the indexation of “military pensions” from 3, 7% to 5.7% (from October 1, 2021 by 3.7% due to an increase in the pay of military personnel (at the rate of inflation) as provided for in the Bill and by 2% from January 1, 2021 (based on paragraph “b” Part 1 of Article 49 of Law No. 4468-I) by bringing the “reducing coefficient” to 75.16%). In connection with the above, additional budgetary allocations will be required: in 2021 - 16.27 billion rubles, in 2022 - 17.33 billion rubles, in 2023 - 18.03 billion rubles (total for 2021-2023 - 51 .63 billion rubles).

Conclusions:

Draft Federal Law No. 1027743-7 “On the Federal Budget for 2021 and for the planning period of 2022 and 2023” under Section 02 “National Defense” and the State Program of the Russian Federation “Ensuring the Defense Capacity of the Country” was generally prepared in accordance with the requirements of the budget legislation of the Russian Federation .

Budget allocations for the section
“
National Defense
”
in 2021 will amount to 3,113,247.5 million rubles, in 2021 – 3,231,721.8 million rubles and in 2022 – 3,257,484.0 million rubles.

The “open part” of the draft federal budget under Section 02 “National Defense” provides for budgetary allocations in the amount of 1,081,830.58 million rubles for 2021, 1,107,249.28 million rubles for 2022 and 1,134,215.39 million. rubles for 2023.

The share of planned expenditures on national defense in relation to GDP will be 2.7% in 2021, 2.6% in 2022, and 2.5% in 2023.

The share in the total volume of federal budget expenditures under the section “National Defense” in 2021 and 2023 compared to 2020 (13.9%) will increase and amount to 14.5%, in 2022 it will increase and amount to 15.1%.

The allocated volumes of budgetary allocations generally make it possible to ensure the implementation of the main strategic goals in the development of the Armed Forces of the Russian Federation.

The Defense Committee insists that the Government of the Russian Federation, as soon as possible, needs to work out measures to increase the level of remuneration of civilian personnel of military units and organizations of federal executive authorities.

In order to prevent the growth of the queue for housing, as well as to reduce the waiting period for military personnel to exercise their housing rights to 2 years, the Government of the Russian Federation needs to ensure financing of the relevant expenditure items at the required level.

In order to eliminate discrimination against “military pensioners” in relation to other pensioners, as well as to implement Law No. 4468-I and Decree No. 604, the Defense Committee insists on bringing the indexation of “military pensions” from 3.7% to 5.7% (from October 1, 2021 by 3.7% due to an increase in the pay of military personnel (at the rate of inflation) as provided for in the Draft Law and by 2% from January 1, 2021 (based on paragraph “b” of part 1 of Article 49 of Law No. 4468-I ) by bringing the “reducing factor” to 75.16%). In connection with the above, additional budgetary allocations will be required: in 2021 - 16.27 billion rubles, in 2022 - 17.33 billion rubles, in 2023 - 18.03 billion rubles (total for 2021-2023 - 51 .63 billion rubles).

The State Duma Defense Committee recommends that the State Duma adopt draft federal law No. 1027743-7 “On the federal budget for 2021 and for the planning period of 2022 and 2023” in the first reading, taking into account its revision for the second reading.

Deputy

Chairman of the Committee Yu.N. Shvytkin