In Ukraine, starting in 2025, there will be restrictions on the largest special pensions. This change will affect over 17 thousand retirees and will be in effect during the state of martial law in 2025. According to TSN, this information has been reported by Kontrakty.UA.
This was announced by the Ministry of Social Policy.
"The law on the state budget has approved a provision for the application of restrictive coefficients in 2025 for pensions that exceed the average pension in the country by four times or more, or 10 living minimums for non-working individuals," the ministry explained.
The department emphasizes that the current system is unfair and opaque due to the imbalances that have accumulated in the pension system. Therefore, the restrictions will apply to payments that currently can amount to 60, 80, 100 thousand hryvnias or even higher.
"The restrictive coefficients will help reduce the significant disparity between so-called 'special' and general pensions. According to the regulation, pensions exceeding 10 living minimums, including those determined by court decisions, will be subject to reduction coefficients," the ministry stated.
The mechanism will operate as follows: the higher the pension amount, the larger the coefficient applied:
- for the part of the pension that exceeds 10 living minimums (23,610 UAH) and does not exceed 11 living minimums (25,971 UAH), a coefficient of 0.5 will be applied;
- for the part of the pension that exceeds 11 living minimums (25,971 UAH) and does not exceed 13 living minimums (30,693 UAH) – 0.4;
- for the part of the pension that exceeds 13 living minimums (30,693 UAH) and does not exceed 17 living minimums (40,137 UAH) – 0.3;
- for the part of the pension that exceeds 17 living minimums (40,137 UAH) and does not exceed 21 living minimums (49,581 UAH) – 0.2;
- for the part of the pension that exceeds 21 living minimums (49,581 UAH) – 0.1.
The Ministry of Social Policy emphasizes that the restrictions will not apply to the pensions of individuals currently fighting at the front or who have participated in defending the homeland from Russian aggression since 2014.
It is noted that the restrictions will only be applied to the amount of the payment that is not the insurance part of the pension but rather an additional payment from the state for service in specific law enforcement or other structures. This category includes bonuses, increases, additional pensions, targeted cash assistance, pensions for special merits to Ukraine, indexing, and other supplements to pensions established by law.
As a reminder, new conditions for retirement have been announced. This is stated in the law "On Compulsory State Pension Insurance."