Changes to the military pension from January 1, 2020

2024 Author: James Gerald | [email protected]. Last modified: 2023-12-17 14:00

The issue of increasing the size of military pensions was once again raised during the discussion of the federal budget for 2020. The State Duma Defense Committee introduced amendments to the Bill, in which there was a proposal to index payments from January 1, and not from October 1, as previously planned.

The latest news in the media reports on the upcoming increase in the military pension and changes in the dates. But there is no official confirmation yet.

How it was in the past years and what awaits in 2020

The introduction of a reduction coefficient for military pensions was carried out several years ago, despite the dissatisfaction of people who honestly served the defense of the Motherland. It was argued by the difficult economic situation in the country, inflation and budget deficit.

The government promised annual increases in the coefficient and a quick return to the previous level, but no increase in the coefficient was observed in reality. Only indexation was carried out from January 1, 2018 on the eve of the presidential elections, and in 2019 in January by the Presidential Decree and the decision of the State Duma, the increase was postponed to October 1, 2019, that is, by as much as 9 months.

Interesting!

The latest news during this period paid a lot of attention to the speech of the Chairman of the State Duma Defense Committee, before this decision was made. V. A. Shamanov, Chairman of the Defense Committee under the State Duma of the Russian Federation, drew the attention of those present at the meeting to several points:

1. The military pension, funding for the army and security forces is at an insufficient level, since, since 2013, the indexation of monetary allowances has not been carried out. Therefore, the level of total inflation on these payments was about 46%.
2. In 2018 alone, the grocery basket has risen in price by half; since January 1, 2019, the value added tax rate has increased and the VAT has increased, which means an increase in prices for almost all goods necessary for life support.
3. The latest news clearly demonstrates that the promised gradual military increase to offset the reduction factor was not implemented in full. Considering that the growth of military salaries and pensions was postponed to the 4th quarter of this year, and the rise in prices began immediately after January 1, it is clear that the financial situation of security officials and pensioners is not the best.
4. In December 2018, the President of the country signed Federal Law No. 460 on increasing the reduction factor by 1.45%. The Defense Committee proposed to carry out indexation earlier and in a larger amount, but the deadline in the Presidential Decree remained the same - October 1, 2019.

The latest news on the adoption of the federal budget reports on the indexation from the first day of 2020.

However, competent sources say that in 2020, an increase in the military pension is expected again in the 4th quarter, despite the proposal of the Defense Committee to at least move it to the beginning of the year. But this did not meet with support.

Interesting! Changes in the pension for disabled people of the 1st group in 2020

Prospects in 2020

On November 19, 2020, the scheduled second reading of the draft federal budget took place. This time the author of the amendments to it was made by the Deputy Chairman of the Defense Committee under the State Duma, Deputy Shvydkin Yu. N.

Earlier, V. A. Shamanov, the Chairman of this Duma structure, stated quite categorically that the growth of military pensions was proceeding too slowly, especially when compared with other categories of payments based on length of service or age. In the first reading, there was a lot of talk about the need for an increase in indexation and a more significant increase in money allowance and a reduction coefficient.

If this is not yet possible, then at least to index pensions for the defenders of the Fatherland, and structures equated to them, from January 1, 2020.

Despite the additions and statements of those who are concerned about the state of defense, the first reading of the federal budget nevertheless approved the indexation from October 1, 2020. The latest news reports on the adoption in the final reading of the bill, which provides for freezing the annual increase in military pay by 2%.

This means that the military pension will also be calculated taking into account the old indicator, which came into effect on October 1, 2019 - 73, 68%.

The latest news in the media is based on the statement of the Deputy of the State Duma Yu. N. Shvydkin, made before the second reading of the draft federal budget, which took place on November 11, 2019. He announced an increase in pension payments by 6.3% and a rise in monetary allowances by 4.3%.

But if you carefully read the text of his speech, on which most of the news in print and virtual publications is based, then from January 1, 2020, there will be an increase only if the majority of deputies approve the amendments to the budget from the Defense Committee submitted for consideration.

About the decree of the President

In 2017, a decree was signed stating that military pensions should outpace the official inflation rate in the country by at least 2%. Since the official inflation rate for the country is indicated at 3%, in 2019 such an adjustment was made by increasing the PC.

For 2020, it was decided to freeze the increase in the reduction factor until 2021. Despite the budgeted funds, the military pension will be focused on the level of increase in civilian insurance payments.

The increase can be a maximum of 1 thousand rubles, but unlike civil pensions, those who have a lower pension will receive a large increase, and those who have all kinds of increases who receive significant amounts will receive less.

To date, not a single official document on the possible movement of indexing from October 1 to January 1, 2020 has been made public. On the other hand, it is noted that a potential increase in pensions by 3% and a PC freeze until 2021 will lead to a failure to comply with the Presidential Decree three years ago in the coming year.

Summarize

1. In Russia, in 2020, there will certainly be an increase in the amount of military pensions, and the funds for this are included in the budget for next year.
2. On November 19, the second reading of the federal budget was held, which includes significant sums to improve the welfare of the military.
3. The first reading provided for the indexation of pensions for the military from October 1, 2020.
4. The Defense Committee of the State Duma of the Russian Federation proposed to postpone its date to January 2020.
5. There is no official confirmation that the majority of the deputies approved the postponement of the deadline.