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“Modernization of pensions”: who will raise the payouts for 1000 UAH

"Осовременивание пенсий": кому повысят выплаты на 1000 гривеньThe expert said the increase in pensions will affect about 40% of the Ukrainian pensioners.

The increase in pension payments, recently announced by the government, it will be possible due to the increased unified social tax.The increase in pensions per thousand hryvnias will receive only 9% of the Ukrainian pensioners

This view was expressed by economist Alexander Okhrimenko.

“You have to understand that the increase in pensions will occur at the end of this year and it will concern about 40% of the Ukrainian pensioners. These things will need 12 billion hryvnia, which in principle will find is a single social contribution. Today he has grown and this money increase will be enough”, – said Alexander Okhrimenko.

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At the same time, the expert said that the increase in pension announced by the government, “is very similar to raising the minimum wage”.

“A lot of talk, but very little effect. For example, a substantial increase of pensions for a thousand hryvnia will affect only 9% of pensioners, whose payments are less than the subsistence minimum. The bulk of retirees will receive an additional 200 hryvnia, and the rest a little bit more” – summed up Alexander Okhrimenko.

We will remind, earlier Prime Minister of Ukraine Volodymyr Groysman said that by the end of 2017 will be another increase in pension payments. At the same time, the Pension Fund of Ukraine noted that the state budget of Ukraine for 2017 did not include funds to increase pensions to Ukrainians.

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