Despite the growth of pensions every second pensioner is not satisfied with the pension they receive. This is shown by a survey of public attitudes to updating the existing pension system, carried out by the National Center for Parliamentary Research. The satisfaction of pensioners is not affected by the type of pension received.
Both pensions for length of service and age, as well as those for disability, etc., are equally unsatisfactory for pensioners, writes Pariteni. The most dissatisfied with their pension are women, pensioners who live in the capital and in the villages, representatives of ethnic minorities, as well as retirees with secondary and lower education.
Analysis of the data shows a direct relationship between the length of time people retire and satisfaction with the pension they receive. Among those who retired in the last 5 years, 42% declared dissatisfaction with their pension, and among those who retired more than 11 years ago – 60%. Every tenth pensioner is completely satisfied with the amount of pension received. These are more often people who have retired in recent years.
There is also a direct relationship between satisfaction with the amount of the pension and the propensity of retired persons to work after retirement. Those who are satisfied with the pensions they receive are less likely than others to continue their work even after acquiring the right to a pension. The financial motive is among the leading in terms of attitudes to participation in the labor market and after retirement.
Satisfaction with the amount of pensions depends on the ratio between the insurance income and the amount of pension received. This indicator is measured by the “income replacement rate” – the ratio of the average pension of a pensioner to the average insurance income, experts point out.
It is clear from the data of the National Statistical Institute that from 2019 the trend in the income replacement coefficients is towards an increase, in 2022 the net income replacement coefficient (calculated by the ratio of the average monthly pension of a pensioner and the average net insurance income ( without the mandatory deductions on wages) amounts to 67% (66.9%). The report states that pensions are tax-free and should also be related to net labor income.
According to the data of the National Institute of National Statistics for 2023, the average monthly number of pensioners is 5,352 less than in 2022. The average monthly pension of one pensioner for 2023 is BGN 784.48, which is by 16.3% more compared to 2022. The average pension of one pensioner for insurance length of service and age for 2023 is BGN 861.23, which is 17.8% more 34 compared to 2022.
For March 2024, the number of pensioners was 2,040,181, and the average monthly pension of one pensioner amounted to BGN 826.85. Compared to the same month in 2023, it was BGN 88.10 higher ( 11.9%). The average monthly amount of the pension for length of service and age of one pensioner for March 2024 is BGN 910.49 or 12.3% (BGN 99.47) higher compared to March 2023.istock
From July 1, 2024, an 11% increase in pensions under the “Swiss rule” will come into force. From this date, the minimum pension for insurance service and age becomes BGN 580.57, and the maximum remains unchanged – BGN 3400.