Freeze of pension savings - what is it and why? In connection with the crisis, which arose under the influence of a number of reasons, both external and internal, it was decided to freeze the funded pension for 2014, 2015, and now for 2016. What are the consequences of the current frosts, what can be expected in the future? What does the freezing of pension savings mean for an ordinary citizen of the Russian Federation?
Pension reform
It is necessary to make a short digression and say that we have been undergoing pension reform for quite a long time. Its main goal is to reduce the burden on the state budget. Previously, its implementation consisted in the fact that in various ways the amount of money that should be paid was reduced. Now there is a full-scale preparation to increase the retirement age for both men and women. Not such a fun event, this freezing of pension savings. What could this mean for the future? In addition to the current crisis situation, it was decided that the 6% that should have gone from the salary of each person to the funded pension in2014-2016 (and maybe a few more years or even decades) will be spent by the state.
Contributory pensions
What exactly are funded pensions, from which the state takes money from us? This pension is a monthly cash payment that is made to compensate insured persons for an insured event, that is, the onset of old age, when most people experience a sharp drop in productivity. This means that there is no way to earn, as before, with your work to ensure a decent standard of living.
Insurance pensions
Are you interested in the possibility of circumventing the situation that has developed? Well, then you should seriously consider the insurance pension option. This option provides for the payment of a monthly amount that will be used for subsequent pension payments, that is, it will serve as compensation for lost income received during employment. But it can also be paid in case of disability or if disabled family members have lost their breadwinner. The peculiarity is that payments are made in a certain amount, which directly depends on the type of insurance pension chosen earlier. It should also be added that the amount of payments is indexed by the state every year, so you do not have to worry about the safety of your savings. Bye.
What is meant by pension freeze?
Let's overLet's take a closer look at what a pension freeze is. Part of the wages of each working person by default goes to the funded pension, from which the person will receive security in the future. And this money will go not to pensions, but to the current expenses of the country - such a decision to freeze pension savings was made by the government of the Russian Federation. But if the money is taken away, it means that they are needed for something. That's what the freezing of pension savings means for pensioners. The question is what for? Which institutions of the state will be financed by all the funds accumulated by the population for at least 3 years?
Where will the money go
All contributions that have been taken and will be taken by the state will go to the maintenance of normal life. The salaries of teachers, doctors, officials, employees of the Ministry of Emergency Situations and the army will be paid from this money. Thus, government programs will be financed, including reforms. In most cases, financing will be provided in full, and, if necessary, additional funds will be taken from reserve funds, such as the sovereign we alth fund. But so far, thanks to decisions such as freezing pension savings, this is not necessary.
Government comments
As you can hear from the head of government and the Ministry of Economic Development, 2016 will be the last year of the pension freeze.savings. But if you take an interest in the publications of 2014 and early 2015, you can read the same about 2015. After all, if in the same 2014 few people had any idea what the freezing of pension savings meant for pensioners, now this issue is of interest to an ever wider segment of the population because of the threat of literally losing their pensions. In this case, it can be assumed that the freezing of pension savings will continue until the moment when the budget of the Russian Federation is filled in other ways.
But, alas, given the slow pace at which the implementation of plans for the creation of production and the introduction of scientific developments, the creation of new sources of income for the budget is very doubtful in the short term. The current economic situation does not inspire optimism.
Experience of other states
In this situation, the experience of other states may be useful. It should be noted that the aging of the population and the entry of the economy into regression or stagnation is not a problem of Russia alone. For a full analysis of the situation, one should also take into account the important fact that other countries have a completely different system of pension accruals. So, when compared with the US pension system, it should be said that there is no usual state funded pension here, and all Americans have to take care of their maintenance in the days when old age comes, with their own hands. For most Americans, the solution to the problem lies in paying regular contributions to private pension funds. But,given the realities of our state, the likelihood of creating reliable and "long-lived" non-state pension funds is rather doubtful.
On the other hand, the solution of the problem from the European Union may be interesting: an increase in tax pressure on the most solvent citizens. In most countries, millionaires and billionaires give away more than half of their net income, and in some countries this figure is over 75%. It can be considered a curiosity that, under certain conditions, the tax rate can exceed 100%. Given the number of millionaires and billionaires in the Russian Federation, as well as various large enterprises, this option can be considered very promising. And if it had begun to be implemented several years ago, perhaps most citizens simply would not have learned what the freezing of pension savings means on their own, and would not have thought about what consequences this step could have for the life of Russian pensioners.
