How to Calculate Your Pension

In the calculation of pensions, mistakes are sometimes made. This happens very rarely, but cases of treatment of pensioners in court to recalculate pensions are known. How to calculate the pension yourself to be sure that it is calculated correctly?

The size of the pension depends on the length of service, salary for 60 months and on the payment of insurance premiums. Based on these data, the pension is calculated.

Since January 2010, there is a new mechanism for calculating, recalculating, indexing and adjusting the size of labor pensions. According to the Federal Law on Labor Pensions, the old-age labor pension now consists of two parts: 1) insurance and 2) accumulative pension . Before, there was also the base part.

Under the new legislation, the basic part was transformed into a so-called fixed base size. It corresponds to the size of the basic parts of pensions, which were established as of December 31, 2009. Depends on the basic size of the type of pension and pensioner's category.

In 2011, the average pension is 8498 rubles. For Moscow, this figure is slightly higher - 11,000 rubles.

How to calculate the pension taking into account valorization?

Today, when calculating a pension, it is necessary to take into account valorization - a reassessment of the monetary value of pension rights acquired before the 2002 pension reform. In fact, all current pensioners have a direct relationship to this.

The database of the Pension Fund contains information on the size of the pension capital of citizens as of January 1, 2002. This applies to all who have worked before 2002, and such a majority.

Since January 1, 2010, this pension capital has been multiplied by 10%. Also, the capital was additionally increased by 1% for each additional year of experience worked up to 1991. There are no maximum limitations here.

From January 1, 2010 valorization is carried out territorially on the basis of documents that are available in the pension business.

The increase in pensions on the average due to valorization is 1431 rubles per month. The greatest benefit from valorization will be people over 80 years old.

How to calculate the pension with the application of the individual retirement coefficient (PKI)?

  Labor pensions for old age, disability, in case of loss of the bread-winner, for long service are subject to calculation with the application of the IKP. This provision is valid in relation to people who do not work at the time of approval of their pension.

To determine the amount of pensions, you need an average monthly salary in the country for the quarter before the pension is multiplied by the IKP.

Its ICP can be calculated as follows. The size of the pensioner's seniority rate, determined by the length of service, is multiplied by the ratio of the average monthly salary of the period for which the pension is paid to the average salary throughout the country in a comparable period.

Calculation of pension can be made by the following formula :

РП = SK х ЗР / ЗП х СЗП , where

SK - the length of service (If a man has worked 25 years (a woman is 20), then his coefficient is 0.55 Each additional year adds 0.01 to the coefficient. The maximum coefficient can be 0.75).

ZR - the average monthly salary for 60 consecutive months.

ZP - the average monthly salary in the country for the same period.

Please note that the ratio of the average earnings of the insured person to the average salary in the country (ZR / ZP) can not exceed 1.2.

SZP - the average monthly quarterly salary in the country, which is a government-approved indicator.

The estimated size of pensions is determined for men who have a total length of service of 25 years or more. For women, the length of service must be at least 20 years.

Having studied the given formula and having understood its components it is possible to understand how to calculate the pension itself.

If you doubt that you are properly entitled to a pension and can not calculate it yourself, contact the district office of the Pension Fund. There you will be given detailed explanations on all issues.