Pension Indexation in Ukraine: Payments will increase by 10% since March 1

From March 1, 2025, the Pension Indexation Plan is introduced in Ukraine, which will increase the payment of pensioners by about 10%. Depending on the amount of the pension, the amount of increase in size from 100 to 1500 UAH.

About this is a lawyer Ivan Khomich, noting that the Cabinet of Ministers determines the exact amounts of raising closer to the date of indexation. However, it is already known that the maximum allowance will not exceed 1500 UAH.

A lawyer Ivan Khomich told this in a comment on the media.

There are several types of pensions in Ukraine, namely:

by age;
disability;
for years of service;
special pensions (for military, civil servants, etc.).
Since 2022, the government has introduced annual indexation of all pensions, and 2025 will not be an exception. If the Cabinet does not change the order of accrual, the indexation of pensions will traditionally take place from March 1. The government is usually approved in February, after which the Pension Fund automatically recalculates payments.

How many pensions will increase in 2025

According to Khomych, the exact percentage of pensions will become known only after the government resolution is adopted. However, by evaluating previous years, we can assume that indexation will be about 10%. For comparison:

In 2023, pensions were indexed by 19.7%;
In 2024, the increase was 7.96%;
The expected increase in 2025 - about 10%.
What will be the amount of the allowance

The maximum and minimum amounts for which pensions increase are determined by the Cabinet annually. However, in previous years there was such a pattern:

minimum allowance - 100 UAH;
The maximum allowance is 1500 UAH (regardless of whether the pensioner should receive more).
For example, in 2023, when the indexation was 19.7%, a pensioner with a payment of UAH 10,000 would have to receive an allowance for 1970 UAH, but in practice it was limited to 1500 UAH. According to Khomych, there are several categories of pensioners who receive minimum payments:

persons who retired from 2021 to 2024;
Seniors who receive a pension with a “surprise” (that is, when the state pays the amount to the subsistence level).
According to the law, the pension is calculated by a special formula that takes into account the length of service and the average salary. If, after calculation, the pension is lower than the subsistence minimum for disabled persons (UAH 2361 in 2025), the state "reaches" it to this amount.

Pension indexation is a mechanism that partially offset the impact of inflation on the purchasing power of citizens. However, it does not guarantee a proportional increase in payments for all categories of pensioners. The state imposes certain restrictions that may affect the ultimate amount of the allowance.

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