Terms and procedure for payment of old-age insurance pension

Conditions for assigning old-age pensions

Today, the following conditions apply to designate the terms and procedure for calculating and paying labor pensions to citizens in old age:

• this pension is assigned to a citizen only if he reaches the statutory retirement date;
• to receive such a pension, the age of the recipient must be set at least as required by law for calculating the pension;
• You can receive an old-age pension of the established labor type only if the citizen has the required length of service to calculate his pension accruals;
• the recipient must have at his disposal all the documents required for the normal calculation of his pension;
• it is mandatory to submit an application to carry out the proper form for calculating the recipient’s pension;
• a citizen must provide confirmation of the fact that he has Russian citizenship in order to be able to calculate his pension;
• it is required that a citizen has a permanent residence permit at the place of his actual residence in order to calculate his due labor pension;
• the method of payment to the recipient of the labor pension due to him is negotiated in accordance with the established requirements of the pension fund;
• it is possible to accrue pensions on preferential terms if a citizen grants his right to any benefits for receiving a pension;
• the procedure for registering the employee’s old-age pension in question is determined according to the amount of length of service available to him.

The old-age insurance pension is paid from a special insurance fund formed by the state pension fund. It is replenished by contributions from employers for each of their employees. Since the introduction of the moratorium on funded pensions, the amount of mandatory contributions to the compulsory pension system is 22% of the employee’s salary. Private entrepreneurs and self-employed persons must pay PF contributions for themselves.

To assign old-age insurance, you must meet a number of mandatory criteria:

1. Reaching retirement age. Previously, it was 55 years for the female part of the population, and 60 for the male part. However, as a result of the pension reform currently underway, this value should increase in the next five years to 60 and 65 years, respectively. Some categories of workers retain the right to receive an early pension.
2. Having a certain amount of work experience. In light of the ongoing pension reform, the minimum length of service is increasing every year. In the coming year, 2020, it will be 11 years, and by the end of the reform it should increase to 15 years.
3. A certain number of pension coefficients. In 2020, to assign an insurance pension, the IPC value must be 18.6 points.

Insurance pensions are calculated by employees of the state pension fund. Therefore, for the assignment of pension benefits, you must contact the local Pension Fund department at your place of residence by submitting a corresponding application there. It should be accompanied by a set of documentation confirming the right to receive payments.

It includes:

1. The applicant's passport or other identification document. Since the legislation allows for the assignment of pensions to foreign citizens and stateless persons who officially worked in the Russian Federation, they should present a residence permit and/or a foreign passport with a notarized translation into Russian.
2. Documents to confirm the length of work experience - a work record book, or official employment contracts with the employer.
3. If a citizen began his career before the Federal Law on Insurance Pensions came into effect, he must present certificates of the amount of wages he received for 5 years up to 2001 inclusive.
4. Pension insurance document (SNILS).

Appointment dates

You can submit an application to PF employees in several ways:

• Personally coming to the territorial office of the fund.
• Sent by registered mail.
• By submitting papers through the district MFC.
• By submitting an application via the Internet - through the Gosuslugi portal or the official website of the Pension Fund.

After receiving the documents, PF employees have a ten-day period to familiarize themselves with the papers. If a deficiency is detected, the submitter has three months to submit the missing document or replace the incorrectly drawn up document. After this, the fund’s employees are obliged to either accrue a pension to the person or refuse to do so. The refusal must be formalized, indicating a specific reason.

If everything is in order with the documents, the applicant is assigned an insurance pension. Payments begin in the month following the acceptance of the application.

This date is considered:

• The day of submitting papers during a personal visit to the office.
• The moment they are received by PF employees when sent through the MFC.
• The date on the postage stamp.
• The day on which the electronic application was received through the State Services or the Pension Fund website.

The legislation provides for a number of situations when citizens have the right to receive an insurance pension early. This capability is available to:

1. Persons working in hazardous and hazardous industries. According to Federal Law No. 350, such employees can, if they have the necessary “harmful” work experience, apply for insurance payments 10 years earlier than other citizens.
2. Women who have raised 3 children can retire 3 years earlier than expected. If there are 4 children - 4 years earlier, and 5 children - 5 years earlier.
3. Certain categories of disabled people: those with problems with vision, growth (dwarfs or midgets). This also includes persons who have become disabled as a result of participating in hostilities.
4. Pedagogical and medical workers if they have 25 years of experience (for rural residents), or 30 years (for city residents).
5. Citizens who have served a certain federal period in the northern regions, or in areas equivalent to such.
6. Persons permanently residing in the northern regions.
7. Representatives of indigenous peoples of the North and Far East living in historical habitats.
8. Persons engaged in traditional crafts: reindeer herders, hunters, fishermen.

It is worth noting that the assignment of a pension is strictly of an application nature, therefore, in order to receive an insurance payment, an application to the Pension Fund is mandatory.

Pension security is established from the date of acceptance of the application, but not before the right to it arises, with the exception of the case of application within 30 days from the date of dismissal from work (then the date of appointment will be the day following dismissal).

The old-age insurance pension is paid monthly for the current month in accordance with the delivery method chosen by the citizen. You can also receive payments by proxy during the entire validity period of this document, provided that the pensioner confirms the fact of registration at the place of receipt of the pension.

The transfer of funds is carried out by the PFR body to which the citizen’s application was made and where, as a result, a pension file was opened against him.

It is important that the future pensioner can independently choose the organization that delivers the pension. There are several such options:

• Post office:
• possible to receive at home;

or independently at the post office cash desk.

When the pensioner himself receives money at the post office, it should be taken into account that each branch has its own schedule for issuing pensions, and a delivery deadline is also set. It is important to receive the amount due within the established payment period.

The advantage of this method is the ability to withdraw money any day after it is transferred. There is no fee for transferring money to a pensioner's account.

A list of such organizations involved in the delivery of pensions is at the disposal of the territorial body of the Pension Fund and can be provided to the pensioner for choice as a method of receiving payment.

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A citizen must express his desire regarding the chosen delivery method in a written application for a pension or an electronic application to the Pension Fund. In the future, it is possible to change this method by re-applying to the Pension Fund at the location of the pension file.

For timely and uniform payment of pensions, post offices, as well as pension delivery organizations, draw up a specific schedule taking into account the pensioner’s place of residence.

Setting the date for pension delivery has a number of features:

1. On the eve of a holiday or weekend, it can be postponed to an earlier date, but no more than three days before the existing payment date.
2. It can be moved to a later date, but within the delivery period established at the post office.

If a citizen was unable to receive a pension at home according to the established schedule due to his absence, he will be able to receive it on other days of the current month at the cash desk of the post office within the established delivery period.

As for payments transferred through credit institutions, the establishment of a schedule for them is not provided for by current legislation. As a rule, transfers of funds to pensioners’ bank accounts are carried out before the 10th day of the current month.

According to the law, old-age benefits are due to all residents of the Russian Federation who have the appropriate work experience and have reached the established age. For women it is 56.5 years old, for men it is 61.5 years old.

It is impossible to receive the insurance part of the pension at a time. It is paid monthly and constitutes the main type of pension.

You can get it if the basic conditions are met:

• your age has reached the retirement threshold;
• total work experience exceeds 15 years;
• the number of points received for employer deductions is 30 and above.

Types and nuances of social pensions

Social security, contrary to popular stereotypes, not many people apply for and regularly receive social security, only from two to five percent of the total number of pensioners in our country. According to the law, such security can also be of three main types, but the terms of assignment are somewhat different. To receive financial assistance from the state, it is not at all necessary to provide a certificate of employment or insurance experience. In essence, social payments are minimal material benefits that will allow you to survive in a difficult situation.

By old age

You can take a well-deserved rest without having earned the minimum insurance period in your life and without even having ever worked anywhere. The level of support will then leave much to be desired, however, no one will be left to the mercy of fate. Such a benefit can be issued not only to a Russian citizen, but also to a foreigner who has lived in the country for more than fifteen years and can document this fact (residence permit).

If the insurance type of payments can be issued at 55 and 60 years old, respectively, for women and men, then social benefits cannot be received so early. Women can claim benefits at sixty, and men at sixty-five, except for the small peoples of the North and those who have lived in these areas for at least fifteen years. Women living in the Far North have the right to receive social benefits at the age of 50, and men at 55.

Upon loss of a breadwinner

Every person can face such a tragic event as the loss of a loved one, but when he is also the sole breadwinner, then the problems become many times greater. Relatives of the deceased have every right to apply to the Pension Fund of the Russian Federation and, by providing certificates of their own incapacity for work, receive social benefits, even if the “breadwinner” never worked anywhere during his lifetime.

• Minor children, brothers and sisters.
• Relatives who have reached the age of 18, but undergoing inpatient training until the age of 23.
• Spouses, parents, and grandparents who reached retirement age at the time of the death of the breadwinner.
• Children of a deceased single mother.

However, there are special nuances here, since social benefits cannot be received by those who have committed any illegal acts that directly or indirectly led to the death of the main breadwinner.

By disability

Statistics say that about nine to ten percent of all pensioners in our country are disabled of various groups. Most of these people have a confirmed status, which gives them special rights and privileges, including receiving special social benefits. It won’t be difficult to tell what the difference is between insurance and social disability pensions; it’s enough to figure out which categories of the population it can be issued to.

• Disabled people of the first, second, and third groups who have never worked officially anywhere.
• Disabled people from childhood who received status before reaching adulthood.
• For disabled children.

Regardless of citizenship, people living in the country for more than fifteen years have the right to apply for social assistance due to disability. But Russian citizens, who can receive an insurance pension anywhere, most likely will not be able to apply for benefits if they live outside their home country.

Persons entitled to an insurance pension

Insured citizens who comply with the conditions specified in Federal Law No. 167 can receive an insurance pension. Persons with temporary or permanent registration in the territory of the Russian Federation, as well as foreign citizens (including stateless ones) are considered insured:

• carrying out labor activities under a contract;
• who are self-employed (individual entrepreneur, lawyer, notary, etc.);
• who are members of family communities engaged in traditional farming (as well as farming);
• representatives of the Church ministry;
• other categories covered by pension insurance.

To whom is it issued?

The type of pension in question is issued to the following types of recipients:

1. Persons who have reached the legal age of retirement for old age pensions.
2. Subjects who have a sufficient amount of work experience to assign pension payments of the type in question.
3. Men who are at least 60 years old and women over 55 years old, provided they have the necessary period of work at their disposal to calculate and receive a pension.
4. Persons who have received awards issued by the government for the impeccable performance of their work duties.
5. Pensioners who have a sufficient period of service in hazardous industries.
6. Other categories of citizens legally entitled to receive such pensions.

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Terms of the insurance contract

Voluntary health insurance for senior citizens is a special insurance product that gives them the right to visit doctors, undergo diagnostics and receive other medical services in the best clinics in the country and abroad (if provided for by the contract). An insured event is when a pensioner contacts a specialist in a situation covered by the VHI policy. VHI programs for pensioners are aimed at women over 55 years old and men over 60 years old. The cost of a policy for pensioners is influenced by the following factors:

• Patient's age;
• List of medical centers, their level;
• Coverage size;
• A set of services included in the program.

The patient's health over the years is not taken into account when determining the price, and even the presence of chronic diseases, which many retirees suffer from, does not increase the cost. Insurance companies calculate risks, so policies for the elderly are sold at a price calculated taking into account increasing factors. This is due to the fact that the probability of an insured event occurring is high. As a rule, the contract is concluded for a year. At the same time, in order not to suffer losses, insurance companies limit the age of potential policyholders. Many organizations have a limit of up to 80 years; it is extremely difficult for people aged 85 or older to find suitable offers on the market.

Conditions for payment of pension benefits

According to the latest edition of the pension legislation, pensioners who continue to work receive an insurance pension, as well as a fixed cash benefit, however, without indexation. Upon termination of an employment contract, a citizen is paid a pension benefit, taking into account indexation at the time of work.

Conditions of appointment

To apply for an insurance payment, a citizen needs to submit an application to the nearest Pension Fund or MFC, or, using the Internet, through State Services.

The application for employment or its termination will be taken into account from the day employees receive reports from the policyholder.

Thanks to the reform implemented in 2020, citizens, after ceasing to work, have the right to choose the type of pension received upon reaching the required age limit: funded or insurance.

The fixed payment is a mandatory monetary addition to the insurance pension, which, in turn, is calculated on the basis of insurance points.

Insurance

The insurance part of the pension is accrued upon reaching the required age and is calculated on the basis of contributions made by the employer during working life.

Cumulative

Formation is carried out on the basis of regular percentage contributions to the Pension Fund by the employer from the citizen’s monthly salary.

Since January 2020, the concept of “labor pension” has ceased to exist, splitting into 2 separate legal acts: on insurance and funded pensions.

The labor pension was divided into insurance and funded pensions, which a citizen has the right to receive simultaneously. For a visual comparison of different types of pensions according to the main criteria, a table is provided, the data of which corresponds to 2020.

Open table

One of the main indicators used to calculate the amount of any insurance pension, including old age, is a fixed payment. Its value is established by government decree and is the same for all categories of pensioners. In 2020, the fixed payment to the insurance pension is 5,334.19 rubles. This value is not constant, but increases annually as a result of indexations.

According to the rules adopted by law, the following procedure for the payment of old-age labor pension is established:

• in cash at the cash desk of the organization that issues and calculates such a pension;
• transferring funds from non-cash transfers to the recipient’s card;
• payments to the pension recipient’s bank card;
• payments to the pensioner’s card, if such a method was agreed upon additionally;
• by mail using the services of a postman.

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You can find out how pensions are calculated for working military pensioners using the link provided.

If previously this was done by social protection of the population, now pensions are completely managed by the Pension Fund.

The benefit is directly assigned only after providing a complete package of documents. In addition, employer contributions are also required to receive monthly payments. Based on information available from government agencies, including information about insurance premiums, cash payments are made to citizens.

Important! All issues related to pension payments are handled by the territorial body. If you change your place of residence, you must notify the Pension Fund about this. Based on registration at the new location, the pension case materials will be transferred to the local authority.

The rules for obtaining and assigning insurance coverage are regulated by legislative acts. On the government services portal, you can directly apply for a pension; after your application is approved, you must appear with the original documents at the appointed time at the Pension Fund.

In order to comply with the procedure for assigning an old-age insurance pension, it is necessary to collect documents and take them to the appropriate authority.

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The list of documents includes:

1. application (standard sample, which is issued for completion by a government agency);
2. passport;
3. employment history;
4. certificate of average earnings;
5. presence of dependents (documents confirming their inability to work: certificate from place of study, presence of disability, etc.);
6. certificate of marriage/divorce;
7. education document;
8. children's birth certificate.

Please note: if you apply for a preferential payment, then to the main list of documents you will have to attach additional materials confirming your right to receive benefits (certificate of work experience, disability).

According to the Law “On Insurance Pensions” of 2013, the Pension Fund of the Russian Federation has every right to request documents from both individuals and legal entities.

Over time, pension benefits are constantly changing. This is due to the rate of inflation or changes in conditions.

In the following cases, you can count on recalculation:

• the insurance part of the pension for a worker who has continuous work experience after retirement for 12 months is indexed;
• with prices rising by more than 7%.

Price increases, namely inflation, are determined by the Government of the Russian Federation. This indicator is determined annually. Based on it, recalculation occurs - an increase in the pension minimum.

As a rule, state support funds are indexed twice a year. The second time the pension is increased at the end of the calendar year is based on the remaining funds in the Pension Fund of the Russian Federation.

Once a pension has been assigned, you must wait until the next month from the date of official assignment to receive state benefits. A citizen will be able to independently decide how best to obtain the insurance portion.

The payment procedure offers several methods:

1. at home;
2. at the post office;
3. bank card

Important! The insurance portion is also paid after the death of the citizen. In this case, it is transferred to the closest relatives of the deceased person. You can obtain it by submitting an application and death certificate to the territorial authority.

In the event that a pensioner for some reason cannot receive an old-age insurance pension, he can issue a notarized power of attorney for a loved one. With it, the pension will be transferred to the hands of a trusted person.

The old-age insurance pension is established for an indefinite period and is paid throughout the life of the pensioner from the date of application for it, but not before the right to this payment arises.

In some cases, pension payments may be suspended for six months or stopped altogether. However, such measures may be canceled due to the submission of new or clarifying documents to the Pension Fund of the Russian Federation where the citizen’s pension file is located.

According to current legislation, a pensioner is obliged to promptly notify the Pension Fund of all circumstances leading to the suspension or termination of payments.

Pensioners who want to continue their working activities after retirement should know that from 2020, according to the adopted legislation, the insurance pension and a fixed amount to it will be paid to them without planned indexations.

• As for canceling the payment in general, such a proposal was discussed in the Government and a bill was even considered that would cancel pensions for those citizens whose annual income exceeds one million rubles.
• However, due to the contradiction of this project with the rights of citizens to pension provision and the possible economic and social consequences, such a law was not adopted.

Accordingly, pensions continue to be paid to working pensioners, but in a smaller amount compared to non-working ones due to the Government’s refusal to carry out indexations.

Payment of pension is suspended in the following cases:

1. the pensioner’s failure to receive it within six months;
2. expiration of the residence permit in the Russian Federation;
3. lack of documents confirming a citizen’s right to a pension on the territory of a foreign state in accordance with an international treaty when he moves abroad;
4. the absence of a citizen’s application to leave our country to a foreign state with which an international treaty has not been concluded.

The suspension of payment is carried out for a period of six months from the 1st day of the next month in which the specified circumstances occurred.

To renew the payment, the pensioner must contact the Pension Fund with a corresponding application, attaching the necessary documents. A written request is considered within five working days. If a positive decision is made, pension payment will be resumed from the 1st day of the next month.

Consideration of the application may be delayed for no more than three months only if it is necessary to verify the authenticity of the submitted documents.

Payment of labor pension is terminated in the event of:

1. death of a pensioner or recognition of him as missing;
2. after six months from the date of suspension of payment;
3. submission of false documents or discovery of circumstances depriving a citizen of the right to payment;
4. failure by the pensioner to provide a residence permit after six months from the date of suspension of the pension;
5. refusal to receive payments by the pensioner himself.

DS programs at NPFs

In addition to compulsory insurance, each NPF offers NGO programs. Moreover, one can also take part in such a program according to various schemes approved by the internal rules of the fund. Each of them has a different list. GAZFOND, for example, offers 7 possible participation schemes; NPF Transneft already has 10 such schemes.

In each case, they are subject to individual study depending on the specific situation, the goals of investors and participants.

The differences between these schemes lie in the following criteria:

• duration of pension payments;
• the time of the participant’s right to receive a monthly income within the framework of the NGO;
• level of employer and employee participation in the program;
• the amount of contributions, duration and frequency of their payment.

A complete list of programs and schemes of a particular fund must be given in its pension rules, approved by the Board of Directors. Any citizen should be given free access to familiarize themselves with them.

In conclusion, we note that voluntary insurance within the framework of NGOs allows citizens to independently create an additional source of income in old age. DS serves not only to increase the future income of the pensioner, but can be considered as an investment or an additional guarantee to the employee on the part of the employer. When concluding an agreement, it is necessary to responsibly choose a scheme for the formation and payment of NGOs.

Where to go to get it?

For some categories of citizens, the legislation provides preferential conditions for receiving this type of pension.

Of those who receive an insurance pension in Russia on preferential terms, the following categories of citizens can be listed:

1. working in the Far North;
2. civil servants;
3. persons working in hazardous conditions

These categories of elderly people have every right to receive a special type of pension - early. As a rule, preferential payments are assigned earlier than the old age pension. Their main indicator is work experience under hazardous conditions. As a rule, the established length of service comes before the retirement age, which means that a citizen has every right and opportunity to retire several years earlier.

Of particular note are two types of benefits: for the loss of a breadwinner and for disability. These categories relate to social benefits and are paid to those who need government support.

Thanks to the employer's monthly contributions to the Pension Fund of the Russian Federation, a pension is paid.

The pension size itself is determined from several indicators:

• the amount of the insurance part;
• the amount of the funded part

Each pensioner's payments will be different, since their size depends on many factors. Even before you retire, you should take care of receiving them, as well as find out the ways and options for receiving the insurance part of your pension.

What is voluntary pension insurance

The concept of voluntary pension insurance is not disclosed by current legislation. Only in some regulatory documents (for example, the Tax Code) does the term non-state pension provision (hereinafter also referred to as NPO) appear, which in practice is a synonymous concept.

In simple words, it means entering into a voluntary contractual relationship with a non-state pension fund to form an additional pension to the state pension. After concluding such an agreement, the citizen or his employer has an obligation to make payments within a certain period of time in the amount established by the agreement.

All funds transferred voluntarily will form an additional pension in the future . Also, the specified finances can be moved from one management organization to another or received by the citizen or his heirs.

In addition to NPFs, voluntary pension insurance programs are also offered by insurance companies. In this case, an insurance contract is concluded, and the insured person or policyholder makes periodic payments towards a future pension.

Important! Non-state pensions are not regulated by separate legislation, and the procedure for its formation is determined by the internal rules of the NPF. At the same time, the activities of the fund within the framework of voluntary insurance should not contradict the law.

Federal Law “On Insurance Pensions”

Like many other areas of human activity, pension provision is regulated by a certain set of laws. The conditions for receiving the corresponding payments are established by the Fed. by law of December 28, 2013 No. 400-FZ “On insurance pensions”.

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From the beginning of 2020, the amount of the fixed benefit to the insurance pension is 5,686.25 rubles, and the monetary amount of the pension point is 93.00 rubles.

The changes also affected the retirement dates of citizens engaged in professional activities in the following areas: medicine (doctors), education (teachers), including additional centers, etc. For the presented categories, a 5-year deferment is introduced.

From 2020, additional payments will be made in the amount of RUB 1,333. 54 kopecks pensioners who carried out activities related to agriculture.

Accrual rules

The current legislation establishes the following rules for calculating labor pensions:

1. A pension is issued only if the recipient has the minimum work experience specified by law.
2. The volume of pension accruals is reduced if a citizen retires earlier than the time established by law.
3. Pension payments are calculated strictly in the amounts specified for each specific profession.
4. When calculating a labor pension, the final age of the subject at the time of his retirement is taken into account.
5. The pension is calculated in accordance with the accepted accrual scale and using the appropriate calculation formula.
6. The pension is accrued to recipients for life in the absence of other orders.

Subjects of voluntary insurance

Within the framework of the NGO agreement, several categories of persons enter into relations, i.e. subjects of these legal relations:

1. A non-state pension fund is an organization that provides the service in question by accepting contributions, investing them in various projects and areas, and paying non-state pensions to current pensioners or other persons entitled to this in accordance with the terms of the contract.
2. Depositors are persons who make regular payments towards the formation of an NGO. These persons can be citizens themselves, as well as their employers. The category of the latter does not matter; both organizations and individual entrepreneurs who carry out their activities without forming a legal entity can act in this capacity. These persons always act as the second party to the NGO agreement.
3. Participants are those citizens in whose interests contributions are made within the NGO, i.e. in fact, future recipients of non-state pension payments. If a citizen makes contributions on his own behalf and in his own interests, he will simultaneously be both a participant and a contributor.

Management companies that directly invest accumulated funds can act as independent subjects of legal relations under NGOs.

Amount of old-age insurance pension

The average annual pension in 2020 is 16,389.62 rubles, but next year, taking into account the level of inflation, the amount could be 16,389.62 rubles.

The calculation of the amount of insurance payments is made by PF employees in accordance with the number of pension points a person has and their current value. The size of the old-age insurance pension also depends on a number of additional factors.

For example, this is the territorial coefficient adopted for the northern regions. Also, when applying for a pension at a later date, citizens are accrued increasing coefficients for each year. Persons who have reached the age of 80 and pensioners with group I disability have the right to increased insurance payments.

The amount of insurance payments to pensioners increases annually due to indexation carried out by the government. It is necessary to prevent a decrease in the real incomes of pensioners due to inflation and rising prices for services and consumer goods. Thus, the old-age insurance pension in 2020 was indexed by 7.05%, which even exceeded the annual inflation rate.

Minimum pension

According to pension legislation, the size of the minimum insurance pension cannot be lower than the subsistence level. It is set individually for each region, depending on the cost of a set of essential goods, medicines, and utilities.

If for the regions of central and southern Russia this minimum averages 10-11 thousand rubles, then for a number of regions of the north and Far East this figure is 20-22 thousand rubles. If the pension amount is below this level, then the recipient is entitled to an additional payment from the federal budget.

The concept of an insurance pension in simple words

An insurance pension is a fixed amount of money paid by the state monthly to those who are entitled to it. Its size depends on the type of subsidy and the coefficient.

According to the law, the Pension Fund determines how the insurance pension is formed, who is entitled to it and how payments are made on it.

An insurance pension is, in fact, compensation for wages that a citizen received in his youth, as well as throughout his working age.

This type of pension payment is also due to a person who is disabled or a minor member of the family of the insured recipient who has died.

Types of insurance pension:

1. Old age is the classic basis for calculating a pension;
2. Disability grant;
3. On the occasion of the loss of a breadwinner;
4. Payments to pensioners continuing to work;

Each type of subsidy contains general and individual conditions for determining the amount for payments.

Federal Law No. 400 regulates the calculation and payment of insurance pensions. Legislation allows citizens to receive this type of pension based on their existing work experience.

This payment allows retirees to improve their quality of life by receiving money. Typically, the insurance part of the pension is formed in parallel with the funded one.

Below is a list of rules according to which funds are accrued:

• Availability of work experience;
• A mandatory condition for calculating a subsidy is insurance in the pension system (PS);
• Paid by a state organization - the Pension Fund of Russia (PFR);
• Accruals occur monthly;
• Money is delivered by any social government organization of the citizen’s choice or transferred to the pensioner’s bank account. A home delivery service is provided. Money can be transferred to a bank plastic card with the Mir payment system, as well as in a way that he has the right to choose independently. Insurance payments can be received at the city bank at the cash desk.

The insurance pension may be transferred, according to the law, to any authorized person specified by the pensioner, selected at his request.

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Calculation

Each pensioner is entitled to insurance benefits of varying amounts. Since the amount of work experience and the number of IPC points accumulated during working life are individual for each person, the size of the pension will be different for each pensioner.

Sp = Sat x Cb Fv, where:

• Sp – the required amount of the insurance pension.
• Sb – the sum of IPC points available in the employee’s assets.
• Central bank – the current price of 1 point in rubles.
• Fv – the amount of fixed payments established in the current year.

The procedure for calculating an old-age pension includes the following steps:

1. Receiving an application from a pensioner to calculate his pension.
2. A clear definition of the recipient’s work experience at the time of calculating his pension accruals.
3. Deriving a calculated coefficient for a specific category of persons to which the pension recipient belongs.
4. Setting the exact value of the number of pension points used in pension calculations.
5. Precise determination of the timing of payment of old-age pensions and the procedure for calculating it to a pensioner.

Calculation and payment

According to the law, citizens have the right to apply for a pension at any time from the time this right appeared. The method for receiving the insurance part of the pension is the same for all types.

If the conditions for assigning a payment are met, you should submit an application to the Pension Fund and attach the necessary package of documents. Based on this, the insurance part of the pension is calculated.

For this, indicators such as IPC and its cost (SPK) are used. The following formula is applied:

SP = IPK * SPK + FV, where

• SP – insurance pension.
• FV – fixed payment.

Since the beginning of 2020, the cost of the IPC was 81.49 rubles, and the fixed pension amount was 4,982.9 rubles. The number of points a pensioner has depends on the length of service, as well as the amount of insurance contributions made by the employer.

Both the fixed amount of the insurance part of the labor pension and the cost of the IPC are subject to annual indexation.

What are the requirements?

The following requirements are established by law for recipients of such pensions:

1. Residence in the country for the last 20 years.
2. Availability of work experience appropriate for calculating the volume of work experience.
3. Reaching the statutory retirement age.
4. Russian citizenship at the time of calculating the labor pension.
5. Providing documents that can confirm a citizen’s right to receive such pensions.
6. Submitting an application for pension calculation.
7. Providing documentary evidence of the fact that the pension recipient has benefits established by the state.
8. Indication by documents of information about the amount of wages of the recipient during the period of his work.

Package of documents

The package of documents required to apply for a pension is as follows:

1. Application for a labor pension by a citizen.
2. Documents confirming that the pension recipient has sufficient work experience.
3. Passport of the citizen whose pension should be calculated.
4. Work book of the worker.
5. An individual code issued to a worker upon his registration with the tax authorities.
6. Pension certificate of the pension recipient.
7. Certificate from place of residence about family composition.
8. Other documents as required by the authority calculating the pension.

Question answer

Almost everyone often has questions regarding the pension provision of citizens. It is worth considering the most discussed ones, both in the Pension Fund and on the Internet.

The insurance part of the pension is calculated taking into account age, length of service and the number of individual pension plans, while for the funded pension the amount of savings is important.

Insurance pension = sum of pension points *

cost 1 point

fixed payment amount.

For pensioners who terminated a contract concluded for the duration of their work activity and receive payments for any type of insurance pension, in 2020 the amount of the insurance payment is indexed by 7.05%, and next year it will be indexed by 6.6%.

The insurance part of a pension is a type of material security created according to the principles of insurance based on age limits.

Disability payment

The situation is different if you need to receive the insurance part of the pension, when the basis is the citizen’s disability. A prerequisite for this is recognition as a disabled person in the appropriate manner.

If the person applying for the payment does not have work experience, then he can only be assigned a social payment. Both insurance and social pensions are paid every month. However, the difference lies in the difference in amounts, as well as in the implementation of indexation. Insurance payment will be much more profitable than social payment. In order to have the right to it, it is enough to have any official work experience (for which the employer makes contributions to the Pension Fund), even one day.

Deadlines for payment of old-age pensions

The application must be reviewed by officials within no more than 10 days. A longer period will constitute a significant violation.

The main condition for appointment is reaching retirement age. Therefore, if you submit an application ahead of time, it will not be considered positively.

The terms for calculating the pension and its subsequent issuance are not precisely stipulated by the rules of the legislative acts in force in the country.

In the absence of a corresponding government order, every citizen has the right to receive an old-age pension for life.

What is the difference between social and insurance pensions

To understand the essence of the problem and find out how the social pension differs from the insurance pension, you will have to understand the essence of the issue in a little more detail. The most popular in the world is an insurance (labor) type pension, when a person works all his life and makes contributions to a special fund. After reaching a certain age, he is assigned a monthly payment of a certain level, commensurate with the funds contributed during labor. Those whose work experience reaches at least eight years in 2020 are eligible to receive this type of payment. After the introduction of the latest reform, this period will increase until it reaches 15 years in 2024.

Important

A sufficient amount of work experience indicates that the person regularly made contributions to the Pension Fund of the Russian Federation. This means that he, in fact, saved funds in order to receive dividends from them in the future. Most often, such deductions are not made by the person himself, but by his employer, who resolves all tax and accounting issues, deducting 22% of the salary monthly.

Social and insurance payments are quite similar, they are replacement and are of a purely applicant nature. That is, no one will bring anything on a silver platter until the future beneficiary himself applies to the relevant authorities with a request to accrue payments.

Social benefits (pension) are paid when a person has not worked a single day in his life due to circumstances, health problems and other similar reasons. Such payments do not depend at all on the length of service, but only on the age criteria of the applicant. The amount of payments when applying for such a benefit will be minimal; you cannot count on anything more significant.