From March 1, 2025, a pension indexation plan will be introduced in Ukraine, which will increase payments to pensioners by approximately 10%. Depending on the size of the pension, the amount of the increase will be from 100 to 1,500 hryvnias.
This is stated by lawyer Ivan Khomych, noting that the Cabinet of Ministers determines the exact amounts of the increase closer to the indexation date. However, it is already known that the maximum increase will not exceed 1,500 hryvnias.
Lawyer Ivan Khomych said this in a comment to the media.
There are several types of pensions in Ukraine, namely:
by age;
by disability;
by length of service;
special pensions (for military personnel, civil servants, etc.).
Since 2022, the government has been introducing annual indexation of all pensions, and 2025 will be no exception. If the Cabinet does not change the accrual procedure, pension indexation will traditionally take place from March 1. The government usually adopts a corresponding resolution in February, after which the Pension Fund automatically recalculates payments.
How much will pensions increase in 2025?
According to Khomych, the exact percentage of pension increase will be known only after the government resolution is adopted. However, evaluating previous years, it can be assumed that the 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 is about 10%.
What will be the amount of the increase
The maximum and minimum amounts by which pensions are increased are determined annually by the Cabinet of Ministers. However, in previous years, the following pattern was in effect:
minimum allowance – UAH 100;
maximum allowance – UAH 1,500 (regardless of whether the pensioner should have received more according to the calculations).
For example, in 2023, when indexation was 19.7%, a pensioner with a payment of UAH 10,000 should have received an allowance of UAH 1,970, but in practice it was limited to UAH 1,500. According to Khomych, there are several categories of pensioners who receive minimum payments:
persons who retired from 2021 to 2024;
pensioners who receive a pension with a “supplement” (i.e. when the state pays an additional amount to the subsistence minimum).
According to the law, the pension is calculated according to a special formula that takes into account the insurance period and average salary. If after the calculation the pension turns out to be lower than the subsistence minimum for disabled persons (2361 UAH in 2025), the state “pulls” it up to this amount.
Pension indexation is a mechanism that allows to partially compensate for 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 sets certain restrictions that may affect the final amount of the allowance.
