By the end of June, all 31 provinces in the country announced the pension adjustment plans for 2024. In accordance with the national pension adjustment notice, the overall level of pension adjustment for retired elderly in 2024 is an average increase of about 3% per person. The pension adjustment starts from January and the pension adjustment difference should be paid out before the end of July.

A friend asked, as a retired staff member from a government or public institution, with a monthly pension of 7,600 yuan and 35 years of service, why is the increase this year less than 2%? If in other provinces, where would the increase be more?

How is the pension adjustment ratio for retired elderly determined?

Advertisement

In fact, there is no fixed adjustment ratio nationwide, but each province formulates its own adjustment plan based on local conditions. The pension increase is not the same 3% for everyone, but is comprehensively carried out through three methods: fixed amount adjustment, linkage adjustment, and appropriate inclination.

According to the aforementioned adjustment methods, the increase ratio for those with higher pension levels will be lower. Currently, the national average pension level is only around 3,500 to 3,600 yuan, and for a pension of 7,600 yuan, a 2% increase ratio is normal.

For example, taking Shandong Province's pension adjustment plan for 2024 as an example, this year's adjustment consists of three parts:

① Fixed amount adjustment, an increase of 32.6 yuan in basic pension per person per month.

② Linkage adjustment, which is double-linked with the payment period and pension level.The pension increase standards for those with less than 15 years of payment, 16 to 25 years, 26 to 35 years, 36 to 45 years, and 46 years or more are 0.8 yuan, 0.9 yuan, 1.0 yuan, 1.1 yuan, and 1.2 yuan, respectively.

For a pension of 7600 yuan, assuming a working age of 35 years, the increased amount of money will be 0.8 yuan × 15 years + 0.9 yuan × 10 years + 1.0 yuan × 10 years = 31 yuan.

At the same time, there is an increase of 0.9% based on the basic pension of the previous December, which is 7600 yuan × 0.9% = 68.4 yuan.

③ The adjustment for the elderly, mainly for those over 70 years old, includes an additional increase in pension.

This year, the additional standard for Shandong Province is 10 yuan, 15 yuan, and 20 yuan. Special adjustments for specific ages are not considered.

According to the pension calculation above, for an employee of a public institution with 35 years of service and a pension of 7600 yuan, the increased amount of pension is 32.6 yuan + 31 yuan + 68.4 yuan = 132 yuan, with a growth rate of 1.74%.

If we look at the conditions mentioned above, the highest increase in pension money and proportion in different provinces would definitely be in the Tibet Autonomous Region:

Firstly, the fixed adjustment standard reaches 51 yuan.

Then, the adjustment standard based on the payment period is 1.1 yuan, 1.4 yuan, and 1.7 yuan per year of payment in three different regions, even with the lowest increase, it can increase by 36.5 yuan.

The increase based on the pension level is an increase of 1.81% of the basic pension, which is 7600 yuan × 1.81% = 137.56 yuan.The combined increase in pension payments has reached 225.06 yuan, with a growth rate of 2.96%.

When pensions increase, the first thing to pay attention to is the fair adjustment. This takes into account that after retirement, everyone no longer contributes to the pension insurance, while the contributions made before retirement are already reflected in the pension calculation. However, to encourage everyone's enthusiasm for participating in the insurance, there is also a linkage adjustment part, which is mainly an incentive mechanism of more contributions leading to more benefits and longer contributions leading to more benefits.

The overall growth level of pensions in 2024 is 3%. Some people's increases may be less than 2%, but in any case, it outperforms the overall price increase of 0.3% in 2023. Social security pensions are meant to ensure the basic living standards of the elderly, so they will not have too high an increase, but also will not be lower than the price increase. #Top Headline Creation Challenge# #How are pensions specifically adjusted in 2024#