The pension system of Ukraine has long needed to be reformed. One option is the introduction of a funded pension system.
At the end of 2019 to the Parliament by the head of the profile Committee Galina Tretyakova introduced a bill No. 2683 on this subject, writes “the Country”.
Thus, the deficit of the Pension Fund of Ukraine is constantly increasing and has reached record levels. In 2019 he put into the budget at the level of 169 billion, actually amounted to 183 billion by 2020 pledged 173 billion as a solution to the pension problem, the authorities are considering launching second-tier pension provision.
The draft law provides for mandatory participation in the accumulation of pensions for all employed residents of Ukraine and employers. The deductions from wages will go over and above the already existing 22% of ERUs. Ukrainians will have to transfer, the minimum 1% of salary (for example, 100 hryvnia per month at the salary in 10 thousand), and the employer — 2%. But if desired, the employee can pay more. In this case, it will be forced to pay more and the employer up to 5% of an employee’s salary.
These funds will be credited to the individual pension accounts and, if the person himself doesn’t take them (that is, dies before retirement) — inherited family.
The pension money will be kept in specially selected banks, and to manage the funds (e.g. to invest) will be authorized, the company, in particular, and non-state Pension funds.
The owners of pension accounts after retirement will have the possibility to choose: or to get the full amount at the hands of a single, or agree to a monthly Supplement to the provisions of the state pension.
It is noteworthy that this is not the first project on introduction of insurance in Ukraine. In the Verkhovna Rada in previous years were submitted several bills on this subject, but none of them are MPs and are not supported.
Experts say that here lies a few problems.
So, if you start the pension in the framework of the existing 22% of ERUs, for example, redistributing a portion of contribution for individual accounts, there will be a gap in the Pension Fund, which opposes the Ministry of Finance. And if you make additional payments against the employers.
“It is unclear how the government is going to guarantee the safety of the money that their inflation will not eat or is not stolen. This aspect is not elaborated in the new project,” — said the head of the Department of social insurance and pensions trade Union Federation Vladimir Maksimchuk.
“We have, in fact, nowhere to invest pension funds except in government bonds or deposits. But the people themselves will be able to invest their money in these instruments or, say, real estate. Why do they need a mediator?”, says economist Viktor Skarshevsky.
If the draft law vote in Parliament, it will be operational from 2021, but first, Ukrainians are waiting for the preparatory stage. And deduct additional money for pensions workers will have in 2023.