Ukraine plans to reduce pensions in 2026, as reported by 'Khvylia' referring to the draft state budget.
Who will be affected by the changes
According to the draft budget for the next year, the cuts will affect recipients of special pensions, including former civil servants, diplomatic staff, and military personnel under special payment regulations. The changes will only apply to those whose pensions exceed 25,950 hryvnias, according to ten living wage minimums.
New calculation system
The Pension Fund emphasizes that the basic part of the pension, not exceeding 10 living wage minimums, will remain unchanged. Reducing coefficients will only be applied to the part of payments exceeding the established limit. This will help reduce the fund's deficit and narrow the gap in social security.
- 10-11 minimums: coefficient 0.5
- 11-13 minimums: coefficient 0.4
- 13-17 minimums: coefficient 0.3
- 17-21 minimum: coefficient 0.2
- Over 21 minimums: coefficient 0.1
Overall situation with pensions
The average pension size in Ukraine in October was 6,436.8 hryvnias. However, more than a third of pensioners live on amounts less than 4,000 hryvnias per month. The authorities are trying to reduce this difference through restrictions on special pensions, the application of new coefficients, and other measures.
According to updated information, the government of Ukraine plans to reduce pensions only for recipients of special pensions whose payments exceed 25,950 hryvnias. This will introduce a new calculation system with the establishment of coefficients depending on the size of the pension. The aim of the authorities is to reduce the deficit of the pension fund and narrow the gap in pension amounts between citizens.