Pension reform: lawyer explained how pensions are being increased under the new points system

According to hvylya.net: Lawyer Dmitriy Korsun analyzed the innovations in the pension reform proposed by the government with the launch in 2025. The main changes involve the 'pension points' system and a new calculation formula for payments.

Looking at the proposed model, the pension will consist of a basic part (30% of the minimum wage) and an insurance part, which will depend on the accumulated pension points.

The expert illustrated the calculation for a conditional retiree with 35 years of experience and an average salary. According to the new system, such a person would have accumulated 4200 points, which at a rate of 1.02 hryvnias per point means an insurance part of 4284 hryvnias and a total pension of 6132 hryvnias.

Potential benefits and risks

'In practice, we see that even current formulas are often applied incorrectly. People are not sure that all experience and the correct salary coefficient are taken into account. So it is important to check the accrual and documents now, rather than waiting for the new system,' says lawyer Dmitriy Korsun.

The accumulation of the new pension reform involves introducing the 'pension points' system and a new formula for calculating payments. Experts recommend that citizens check their accruals and documents now, since even existing formulas are often applied incorrectly.