The Ministry of Labor and Social Protection offers the problem of lack of financial resources in the country’s pension fund by actively using the deductions of those who are still far from retirement, for the maintenance of those who have already completed their labor activity today. In addition, it is likely that since the year 2015, Russian citizens have to decide on their own whether they need a cumulative fraction of the pension.
The Pension Fund collided with a shortage of nine hundred and twenty -four billion rubles in the year 2011, which then managed to compensate for deductions from the federal treasury. In the year the current lack of pension funds in the fund reached 1.7 percent of GDP. In the absence of decisive measures by a year 2050, the volume of an average pension in the state will decrease by twenty percent.
It is not the first month that the government has been discussing the need to reform the pension system of the Russian Federation. Two departments are engaged in solving the problem of the deficit of pension funds in the fund – the Ministry of Labor and the Ministry of Finance. They represent individual projects, according to which there is a cardinal change in the existing scheme of pension financing.
Today, pension contributions on behalf of employers are twenty -two %, of which six % is a funded share, and sixteen % is a distribution (intended for current pension payments). The Ministry of Labor, from the year 2013 to 2015, recommends reducing the funded share by two to four %, and the distribution, on the contrary, increase. Predicting the results, experts call the amount of two hundred seventy billion rubles. After the year 2015, the funded share will finally develop into the distribution. At the same time, citizens will have the right to individually transfer two % of their own earnings along with six % of the employer. The agency focuses on the fact that the practice of the funded system of pension funds did not justify itself, unlike an indexed share.
The Ministry of Finance advises in its project to extend the limit of the smallest experience up to ten years (now – five years), stimulate the maximum extension of labor activity by increasing pension savings by six % for each additional year of work, and adjust the indexation of pension funds. As a result of these innovations, the department predicts a reduction in deficiency by 2020 by about three times.
Whatever the project received the approval of the government, one thing is clear – the changes cannot be avoided.
