Large-scale increase of pensions in Ukraine: consideration of allowances and principles of calculation for each citizen

Ukraine is preparing for indexation of pensions by approximately 13%. It is worth noting that this increase will not affect all pensions and will be different for different categories of citizens. Currently, the exact amount of indexation is being determined, however, according to information from the Ministry of Finance and the Ministry of Social Policy, it will be approximately 13%.

The law of Ukraine stipulates that the annual increase in the size of pensions takes place in March and is calculated as half of the inflation for the previous year plus half of the average annual increase in wages for the last 36 months. Currently, it is known that this indicator will be approximately 13%, but it will be determined more precisely in February.

It is important to note that indexation will not take pension supplements into account when calculating them. Also, pensions will increase only the part calculated according to the above formula, without affecting the full amount of benefits. These measures are aimed at avoiding the obsolescence of pensions, compensating for the rise in prices and salaries.

Taking into account the indexation, a point system will also be introduced and the living wage will be increased, which did not happen in 2023.

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