It is certain – most seniors can expect two increases in benefits next year. The first will be at the beginning of 2022. This is the effect of tax changes introduced by the Polish Order, the act signed last week by President Andrzej Duda.
Most seniors will be exempt from income tax. However, the gross retirement pension will not be equal to the retirement pension. This is because you will have to pay another 9 percent. health premium. Everyone whose retirement pension or disability pension does not exceed PLN 4,900 gross will benefit (most people with a gross pension of PLN 2,500, here the profit will be almost PLN 190 per month). Those with higher benefits will unfortunately lose out on these changes – neither the government nor the MPs have decided to introduce middle-class allowances that would protect the benefits of better-endowed pensioners against the effects of the Polish Deal. And this despite the fact that those working under a contract of employment will be able to benefit from such a relief.
Pensions. The indexation of pensions will be record-breaking
Fortunately, there will be one more injection of money – that is, the valorization of benefits. From March 1, all seniors’ pensions will be increased. – Our forecasts show that the indexation index will amount to 5.85%. – Dr. Antoni Kolek from the Pension Institute tells Fakt. These would be record increases. The final index of pension indexation will be known only in February, when the Central Statistical Office will release data on inflation in 2021 and wage growth. It is these two factors that determine the amount of the retirement pay rise.
Indexation of pensions in 2022 and 2023. We have exact calculations
Pensions. Even PLN 4,500 more for a pensioner
Based on the experts’ forecasts, we have prepared a simulation of how the payouts will change. We took into account not only the valorization, but also the changes introduced by the Polish Order and the payments of the 13ths. Interestingly, for most seniors (up to the amount of the retirement pension of approx. PLN 2,400 gross), these additional payments will be tax-free and will amount to over PLN 1,200. With higher benefits, you will also have to pay PIT from them, then the payment will be much lower – such a fee will be less than PLN 1,000 per hand.
When you calculate everything, it turns out that the seniors will receive an additional PLN 4,500 next year. However, if the experts’ predictions come true, a huge part of this amount will be devoured by high prices – prices, especially at the beginning of the year, may go up by as much as 10%!
The government got it wrong. Pensions can be much higher
The situation of seniors would be improved by the payments of fourteen, but in 2022 the government does not provide for them.