Pension indexation. There will be 3 pension increases in 2024!

The budget bill adopted by the government at the end of the current term assumes the next term indexation of pensions according to the index of 112.3%. This means an increase in the value of gross pension benefits by 12.3%. This is lower than last year, but still a record indexation of pensions. It results primarily from the still high inflation, which amounted to 10.1% in August.

At the Council of Ministers, we adopted assumptions for the indexation of next year’s pensions. The indexation is expected to be 12.3%. Its entire cost, including the indexation of the thirteenth and fourteenth pensions, will amount to over PLN 43 billion, says Marlena Maląg, Minister of Family and Social Policy.

The next indexation of pensions will take place on March 1, 2024, which is in accordance with the Act on pensions and disability pensions from the Social Insurance Fund.

In Poland, pensions and annuities are subject to annual indexation, which is determined on the basis of the indexation index, i.e. the average annual price index of consumer goods and services in the previous calendar year. This indicator is increased by at least 20%. real increase in average salary. Data from the Central Statistical Office indicate that in the second quarter of 2023, the average salary in Poland already exceeded PLN 7,000.

In March 2023, the indexation rate was 14.8%., which meant record-high pension increases for all pension recipients. Such high increases resulted from very high inflation, which in 2022 amounted to 14.4%. And although the indexation will be lower in 2024, it will still be a double-digit amount pension increases will also be significant: from less than PLN 200 to over PLN 700 gross.

In current year The 13th and 14th pensions have been permanently entered into the social benefits system. This means that in 2024 pensions and annuities will increase threefold. The first increase will take place in line with the deadline for the annual indexation of pensions on March 1, while in April 2024 seniors will receive further transfers under 13 pensions.

Seniors will receive thirteenth pensions regardless of the amount of the basic benefit and will be paid in the amount of the minimum pension, which currently amounts to PLN 1,588.44 gross, i.e. PLN 1,445.48 net.

In turn, the 14th pension will be paid, just like this year, at the beginning of autumn. Originally, ZUS was to pay fourteenth pension in the amount of the minimum pension, but this year President Kaczyński increased this amount to PLN 2,650 gross. The amount of the fourteenth pension payment next year is not yet known, because then it may also be increased by regulation, but it will certainly be paid similarly to this year, in September and October to seniors whose the basic benefit is no higher than PLN 2,900 gross. In 2023, approximately 6.8 million seniors out of nearly 9 million entitled to this supplement will receive the full amount of the pension.

ZUS data shows that in Poland the largest group of beneficiaries are seniors receiving pensions: almost 78%. all eligible persons. Just over 7% receive a pension. of them, and survivor’s pension 15%. beneficiaries.