The indexation of pensions in June is particularly eagerly awaited this year. The expected increase in the benefit amount may be standard, as it may reach 14.8 or 14.9 percent. However, it should be remembered that indexation will only apply to seniors who have not yet started receiving benefits.
See also: “I’m a ZUS millionaire, but retirement is not a miracle.” We look at the account
As Dziennik.pl reports, the Social Insurance Institution carries out indexation every year on June 1 and takes into account funds accumulated in retirement accounts by December 31 of the previous year. “The increase is credited to the account and can be used by people who retire in the second half of the year.” – explains Dziennik.pl.
The June indexation date is important for people who will reach retirement age in a given year, because it is better to postpone submitting a pension application until the period after May of a given year. Otherwise, you may lose your interest amount. A few months of delay in submitting documents may actually translate into an increase in pension by at least several tens of Polish zlotys, sometimes even by 500 Polish zlotys or more.
Pensions were already indexed in June. It may be higher
Preliminary estimates by the Social Insurance Institute indicate that the index this year may reach 14.8-14.9%. Last year the level was also 14.4%, while in 2022 it was much lower – only 9.33%. As Dziennik.pl states, “The amount of the contribution linkage index depends on inflation and the increase in pension contributions in the previous year“.
Different rules apply to funds accumulated in subaccounts – here “the annual indexation rate is equivalent to the average annual dynamics of the value of GDP at current prices over the last five years preceding the indexation date.” As Dziennik.pl explains, Many “point out that the indexation rate of funds accumulated in subaccounts will be 7.9-8.2 percent.“
See also: You are 40 years old, this is how much you have to earn to get PLN 4000. Pensions from ZUS
The indexation of pensions in June is most useful for people who have decided to delay filing their pension application for a few years. For example: A 70-year-old person has accumulated PLN 700,000 in his ZUS account. PLN, before indexation he could count on 3000 PLN. 389 PLN monthly interest. However, after indexation, the same interest can reach 3,000 PLN. 875 Polish zloty.
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